ICICI offer overdraft and SBI cuts home loan rates

SBI and ICICI Banks have increased the festivity of the season as SBI has cut down the interest rates and ICICI has started giving overdraft facility and waiver of processing fee.

SBI has slashed interest rates by 0.5 % for its home loan segment up-to Rs 75 lakhs and ICICI is now offering overdraft facility for home loan.

Currently the cheapest home loan is provided by the SBI which is available at 9.15 % while women borrower can avail home loan at 9.10%.

Meanwhile, ICICI is providing loan to those who are salaried and have account with them and the range is from Rs5 lakh to 1 crore against the property owned by them.

ICICI Bank has released a statement in which it stated that they have a launched a product called ICICI Bank Home Overdraft’, which will give dual advantage of a term loan and on the same hand an overdraft facility.

So the borrower can get the quick funds for his or her immediate need and overdraft facility will give them flexibility of funds or instant expenses whenever required for medical treatment, education, home renovation, marriage, etc. The range of this loan is minimum of Rs5 lakh and maximum of Rs 1 crore and customers will have to avail 10% of the total amount as term loan and maximum of 90% as overdraft.

ICICI Bank has made it clear that the customer will have to the interest according to the monthly installment, while the overdraft facility charges will depend upon the utilized amount and the period for which the funds were used.

SBI has reduced 0.5% on home loan upto Rs 50 lakh and which means the borrower can save Rs 542 per month and approx. Rs 2 lakh over the period of 30 years.

SBI also told that if Rs 541 are invested in RD, then it will approximately give return of Rs 6 lakh at the end of the loan tenure.