OBC cuts interest rate on home loans by 0.1%
State-owned Oriental Bank of Commerce (OBC) today reduced interest rate on home loans of up to Rs 30 lakh by 0.1 percent.
As a new year gift to customers, home loans will now be available 10.40 percent with an EMI of as low as Rs 937 per lakh, OBC said in a statement.
The base rate or the minimum lending rate of the bank is also 10.40 percent. Besides, the bank has also slashed margin for home loans above Rs 20 lakh to 20 percent, it added. For loans below Rs 20 lakh, margin will be 15 percent. On the deposit side, the bank has waived off penalty on premature withdrawal on its fixed deposit schemes for all maturities.
Yesterday, private sector HDFC Bank slashed its benchmark lending rates by 0.1 percent. The base rate the bank was reduced to 9.7 percent from 9.8 percent. At the same time, the benchmark prime lending rate (BPLR) of the country's second largest private bank was also slashed by similar margin to 18.20 percent.