State Bank of India (SBI) recently revised its marginal cost-based lending rate or MCLR. The move brings down the interest rates applicable to all its loans. In a statement earlier this week, the bank said its home loan interest rates stand reduced by 20 basis points since April 10 this year. The latest key lending rate, which took effect on Wednesday, was the third downward revision this financial year, according to SBI, the country's largest lender. SBI's one-year MCLR now stands at 8.40 per cent. The latest reduction in MCLR was to the tune of 5 basis points across all tenors. With this cut, the bank's one-year MCLR came down from 8.45 per cent to 8.40 per cent.
After the latest cut in the marginal cost-based lending rate, here are the effective interest rates offered by SBI on its term home loans:
Up to Rs 30 lakh
| Borrower | Loan to value (LTV) ratio | Interest rate for salaried borrower | Interest rate for non-salaried borrower |
|---|---|---|---|
| Women | ≤ 80 | 1-year MCLR + 10 bps, effective rate 8.50% | 1-year MCLR + 25 bps, effective rate 8.65% |
| > 80 and ≤ 90 | 1-year MCLR + 20 bps, effective rate 8.60% | 1-year MCLR + 35 bps, effective rate 8.75% | |
| Others | ≤ 80 | 1-year MCLR + 15 bps, effective rate 8.55% | 1-year MCLR + 30 bps, effective rate 8.70% |
| > 80 and ≤ 90 | 1-year MCLR + 25 bps, effective rate 8.65% | 1-year MCLR + 40 bps, effective rate 8.80% | |
| (Source: sbi.co.in) | |||
Above Rs 30 lakh and up to Rs 75 lakh
| Borrower | Risk group (RG) | Interest rate for salaried borrower | Interest rate for non-salaried borrower |
|---|---|---|---|
| Women | 1, 2 ,3 | 1-year MCLR + 35 bps, effective rate 8.75% | 1-year MCLR + 50 bps, effective rate 8.90% |
| 4, 5, 6 | 1-year MCLR + 45 bps, effective rate 8.85% | 1-year MCLR + 60 bps, effective rate 9.00% | |
| Others | 1, 2, 3 | 1-year MCLR + 40 bps, effective rate 8.80% | 1 Year MCLR + 55 bps, effective rate 8.95% |
| 4, 5, 6 | 1-year MCLR + 50 bps, effective rate 8.90% | 1-year MCLR + 65 bps, effective rate 9.05% | |
| (Source: sbi.co.in) | |||
Above Rs 75 lakh - floating rate
| Borrower | Risk group (RG) | Interest rate for salaried borrower | Interest rate for non-salaried borrower |
|---|---|---|---|
| Women | 1, 2 ,3 | 1-year MCLR + 45 bps, effective rate 8.85% | 1-year MCLR + 60 bps, effective rate 9.00% |
| 4, 5, 6 | 1-year MCLR + 55 bps, effective rate 8.95% | 1-year MCLR + 70 bps, effective rate 9.10% | |
| Others | 1, 2, 3 | 1-year MCLR + 50 bps, effective rate 8.90% | 1-year MCLR + 65 bps, effective rate 9.05% |
| 4, 5, 6 | 1-year MCLR + 60 bps, effective rate 9.00% | 1-year MCLR + 80 bps, effective rate 9.20% | |
| (Source: sbi.co.in) | |||
SBI had previously cut the lending rate by the same magnitude each in April and May.
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