HDFC revives teaser home loan rates
16 April 2010
India's biggest mortgage lender HDFC revived its teaser home loan rates on Thursday for a two week period to protect its turf as rival State Bank of India is attracting customers with its special rates till month end.
HDFC chose a short period for special schemes on expectations of a policy rate hike in the monetary review on 20 April.
The lender had in February scrapped the special rates and will now charge marginally higher rates than before. The revived plans would allow consumers access to home loans beginning 8.25 per cent for the fiscal to March 2011, and 9 per cent for 2012.
Under the earlier plan it was 8.25 per cent till 31 March, 2012.
According to HDFC M D Renu Sud Karnad, the bank had been able to do this due to the cost of funds.
She added that the bank's spreads were intact and in April, the bank realised there still remained a window where it could bring down the rates.