SBI long-term home loans at lower rates

Mumbai: State Bank of India (SBI) will offer long-term home loans at rates as low as 10-to-10.5 per cent for group borrowers as against its regular individual loan rate of 11 per cent for floating rate loans and 11.25 per cent for fixed rate loans.

SBI is also offering short-term housing loans at a new low rate of 10 per cent for floating rate loans for five years as against the earlier rate of 10.5 per cent. Fixed loans for the same period will be available at 10.25 per cent as against the earlier 10.75 per cent.

The bank has decided to offer discounted rates to borrowers who come in a group for a single property and pass on the savings that the bank will achieve in administrative expenditure.

In cases where the borrowing group consists of employees of a single organisation, SBI will tie up with the employer for direct remittance of instalments deducted through the salaries of the employees.