The State Bank of India (SBI), the country's largest lender, today announced a 25 to 50 basis point reduction in lending rates on home and car loans.
SBI has reduced interest rate on home loans of up to Rs30 lakh to 10.25 per cent from the existing 10.50 per cent – a 0.25 percentage point reduction.
For home loans beyond Rs30 lakh but less than Rs75 lakh, the new rate will be 10.40 per cent against the existing 10.75 per cent - down 0.35 per cent.
The new rates will be effective 7 August.
The base rate or minimum lending rate of SBI stands at 10 per cent, below which it cannot lend.
The interest rate on new car loan would be 10.25 per cent against the existing 11.75 per cent for a seven-year loan.