Bank of Baroda Lowers Home Loan Interest Rate
10 दिसम्बर 2021
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Most of us dream of one day buying our own home. A home where we can make memories with our loved ones. Bank of Baroda offers one of the lowest rate of interest on home loan in India to help you fulfil your dreams of getting your own house or apartment. Bank of Baroda now charges interest as low as 6.50%* on home loans taken after October 7, 2021. This is the lowest home loan interest rate Bank of Baroda offers and was implemented to keep up with the enthusiasm of the festive season and help individuals purchase the home of their dreams. Do note that the reduced interest rate is only available till December 31, 2021. Hence, if you are thinking about buying a house and need a loan to finance the purchase, take advantage of these promotions for smooth and affordable financing.
To give you a better idea of how beneficial these interest rate drops are, here is a comparison table between the interest rates charged by Bank of Baroda in November 2021 vs. the interest rates charged in October 2021 -
|
BOB Home Loan Scheme Type |
New Interest Rate |
Old Interest Rate |
|---|---|---|
|
Baroda Home Loan |
6.50% p.a. to 7.95% p.a. |
6.85% p.a. to 7.85% p.a. |
|
Baroda Home Improvement Loan |
6.50% p.a. to 7.95% p.a. |
6.85% p.a. to 7.85% p.a. |
The revised lower interest rates help decrease the interest paid towards the loan; thus, lowering EMI payments. To help you understand better, here is an example -
Suppose you need a home loan for Rs. 50,00,000 and plan to repay the debt in 30 years. If you apply for the loan with the new rates, you are only charged 6.5% p.a. interest rate and your monthly EMIs amount to Rs.31,603.
On the other hand, if you had applied for a loan with the same loan amount and tenure at the old rates, you would have had to pay a minimum interest rate of 6.85% p.a. Your EMI payment, in this case, would have been Rs.32,763.
So, the new interest rates really help your savings add up!
Moreover, Bank of Baroda charges a floating interest rate. Interest rate on various Retail Loans is linked with Baroda Repo Linked Lending Rate which is linked with Repo Rate declared by RBI. Any revision in repo rate will be effected in loan in the following month. Thus with decrease in Repo Rate, interest being charged in home loan will also decrease.
What are the benefits in the Bank of Baroda festive season offer?
Bank of Baroda wishes to make this festive season a truly happy one. The Bank of Baroda housing loan interest rate has been cut down by 0.25% for loan takeovers. Additionally, processing fees too have been waived. This provides a good incentive for prospective customers to transfer their existing home loans to Bank of Baroda or apply for a new one.
The waiver of the Bank of Baroda home loan processing fee is a huge relief for individuals are looking to either apply for a home loan or transfer their existing debt to Bank of Baroda. The processing fees are usually 0.50% of the total loan amount with a lower limit of Rs. 8,500 and an upper limit of Rs. 25,000. The processing fee must be paid along with your down payment. With the waiver of processing fees by the Bank of Baroda, procuring a home loan has really become economical this festive season.
What are the benefits of taking a home loan from Bank of Baroda?
The Bank of Baroda offers many benefits on home loans, such as -
Free accident insurance
Bank of Baroda offers free accident insurance on loans. Thus, you get peace of mind knowing that your family will not be burdened with any debt in your absence.
Comfortable repayment tenure
You do not get charged any extra fee for the foreclosure of your debt or for making prepayments. Home loans have a maximum tenure of 30 years; thus, you get to spread out your repayments and get to enjoy an EMI that is comfortable for you.
Affordable interest rates
Bank of Baroda is one of the few banks with lowest home loan rates. The interest charged is quite reasonable throughout the year.
Higher loan amounts
Bank of Baroda covers up to 90% of property purchase costs for a fresh flat or house subject to loan limit. An individual applicant can expect a loan up to a maximum of Rs 20 crores.
Financing your dream home has never been this easy
Bank of Baroda makes borrowing easy. You can simply visit our website and check your home loan eligibility with a few clicks. Once you have the information you need, go ahead, and start your application on the website too. For any assistance with the process, you may reach out to our helpful staff for support and answers to your questions.
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Disclaimer
The contents of this article/infographic/picture/video are meant solely for information purposes and do not necessarily reflect the views of Bank of Baroda. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Bank of Baroda and/ or its Affiliates and its subsidiaries make no representation as to the accuracy; completeness or reliability of any information contained herein or otherwise provided and hereby disclaim any liability with regard to the same. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject Bank of Baroda or its affiliates to any licensing or registration requirements. Bank of Baroda shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.
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