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Planning to take Loan? These Banks have Reduced Rate of Interest for Customers before Diwali; Zero Processing Fees

Pritam Kashyap
Pritam Kashyap

Before Diwali and Dhanteras, Indian banks have given huge relief to the customers. If you are planning to buy a house in the festive season, then this is a great opportunity. This is because many banks, including HDFC, are offering home loans at an affordable rate.  

Let us know which all banks have made loan cheaper for its customers: 

HDFC 

Private lender, HDFC Ltd. cut its retail principal loan interest rate by 0.10 per cent on Monday. The new rates will be applicable from 10 November 2020. At this rate, the company's home loan rates are fixed. All existing customers will benefit from this change in interest rate. 

Union Bank of India 

Union Bank of India has made home loans cheaper, giving great relief to customers. Union Bank of India said that the interest rate on housing loans above Rs 30 lakh has been cut by 0.10 per cent. Women applicants will get an additional 0.05 per cent discount on the interest rate on such loans. In this way, the interest to women applicants will be 0.15 per cent cheaper. 

Processing fees reduced to zero 

Along with this, the bank said that it has applied for housing loan till 31 December 2020. Processing fees have also been reduced to zero. The bank has also offered a discount of up to Rs 10,000 in case of takeover of home loan. The bank said that these rebates have come into effect from November 1, 2020. Apart from these, the bank has also removed processing fees for vehicle and education loans. 

Bank of Baroda 

Bank of Baroda also gave the gift. On Saturday, Bank of Baroda (BoB) reduced the loan interest rate associated with the repo rate from seven per cent to 6.85 per cent. The bank's new rates are effective from November 1, 2020. 

Bank of Maharashtra 

Public sector Bank of Maharashtra lowered the repo rate linked loan interest rate (RLLR) by 0.15 per cent.  It is now 6.90 per cent. The bank said in a release that its retail and micro, small and medium industries (MSME) loans are linked to RLLR. The new rates come into effect from November 7. Bank executive director Hemant Tamta said, "The reduction in RLLR makes our home loans, car loans, gold loans, education loans and personal loans as well as MSME loans more attractive and cheaper." Earlier, due to festive season, the bank had waived processing fees on housing, car and gold loans. Earlier, Bank of Baroda has also reduced its RLLR by 0.15 per cent to 6.85 per cent from November 1. 

Canara Bank 

Government-sector Canara bank cut MCLR by 0.05 to 0.15 per cent. The revised new rates have come into effect from November 7. MCLR has been cut by 0.05% on a one-year loan from the bank. Now the new rates have come down from 7.40 per cent to 7.35 per cent. 

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