Reducing the interest rate on housing loan of above Rs 75 lakh by 0.25 per centage points effective from October 9, state run Syndicate bank today said rate of interest on all housing loans irrespective of the quantum of loan will be base rate.
"The bank has reduced the rate of interest on housing loans of above Rs 75 lakhs by 25 basis points with effect from 9th October 2013. Hence, the rate of interest on all housing loans irrespective of the quantum of loan will be base rate i.e. 10.25 per cent," Syndicate Bank in a statement said.
It has also made the base rate applicable to all existing housing loan accounts also with immediate effect. Syndicate Bank said: Keeping in view the on-going festival season, the bank has already reduced the rate of interest on four-wheeler loans from base rate + 0.75 per cent (presently, 11 per cent) to base rate + 0.65 per cent (presently, 10.90 per cent).
Similarly, the rate of interest on 2 wheeler loans also has been brought down by 50 basis points to 12.25 per cent (at current base rate), it added.
The bank said it has also slashed the service charges by 50 per cent on all housing loans and vehicle loans during the festival period.