Times of India
Bangalore, Feb 6: Canara Bank has reduced the rate of interest by 25 basis points with effect from February 7 on existing as well as new housing loans, irrespective of loan amount and for all tenures up to 25 years.
The bank said all borrowers who have opted for home loans under the floating rate will benefit from the interest reduction.
The revised rates for loans up to Rs 20 lakh will be 10% for 5-year tenure, 10.25% for 10-year term and 10.50% for terms above 10 to 25 years. For loans above Rs 20 lakh, it is 10.25%, 10.50% and 10.75% respectively.
Recently, the bank had extended the maximum tenure of the loans from 20 to 25 years and also given the option of repaying the loan in step-up EMIs with a view to help the borrowers in smooth servicing of the loan.
The processing charges on home loans has also been reduced by 50% up to March 31.