SBI to cut housing rates by 50 basis points

Mumbai: Effective 16 August 2002, State Bank of India (SBI) will cut its housing loans by 50 basis points across the board — the second in a month’s time. This, according to officials, makes SBI’s housing loans the most inexpensive in the market.

The bank’s floating rate deposit up to five years has now been reduced to 9.50 per cent (10 per cent) while on fixed loans the bank charges 9.75 per cent (10.25 per cent).

For loans above five years to less than 10 years, the floating rate is now 10 per cent (10.50 per cent) and fixed rates for the same tenure is 10.25 per cent (10.75 per cent).

For tenure of 10 years to 20, on floating the rate is 10.5 per cent (11 per cent), while on fixed the rate is 10.75 per cent (11.25 per cent).

Besides the rate cuts, the bank has also waived its processing charges of half a percentage, for a limited period.