Hyderabad: Lakshmi Vilas Bank (LVB) has slashed interest rates on housing loans. The rates have been brought down to 11.5 per cent per annum from 13 per cent on floating rate loans, while that on the fixed rate option is 12 per cent for a repayment period of five years, and 12.75 per cent for the repayment period of over five years.

In a press release issued here, LVB assistant general manager S Manoharan said the bank has also decided to reduce the processing fee to 0.50 per cent of the loan amount from the current level of 1 per cent charged on all the term loans.

LVB will also enhance the maximum loan amount to Rs 25 lakh from Rs 15 lakh.