ICICI Bank lowers home loan rate by 15 bps to 9.15%

Private sector lender ICICI Bank has announced a 15 basis point reduction its home loan rate to 9.15 per cent for women borrowers, following cue by market leader State Bank of India, possibly leading to rate reductions by other lenders as well.

SBI currently offers the cheapest home loan in the market with rates for woman borrowers at 9.10 per cent and 9.15 per cent for other borrowers.

ICICI Bank is offering home loans to woman borrowers at 9.15 per cent while other borrowers will have to pay interest rate of 9.20 per cent. The revised rates are applicable for home loans up to Rs75 lakh.

On 28 October, ICICI Bank had cut its MCLR by 10 bps, bringing its one year MCLR down to 8.95 per cent.

With corporate lending at a standstill, banks are pinning hopes on retail sector to boost lending activities.

In fact, SBI saw its retail lending increase by 18 per cent as of mid-October 2016, while its home loan book roughly stood at Rs2,00,000 crore.

ICICI Bank also launched a home loan overdraft facility for salaried customers under which customers can avail loans varying from Rs5, lakh to Rs1 crore for personal needs against property. Customers can use the funds for personal requirements, including education, medical treatment, home renovation, marriage and overseas travel.