The Bank of India, a public sector lender, announced on Tuesday a notable adjustment in its new home loan interest rates, reducing them from 8.45 per cent to 8.3 per cent. Additionally, as a limited-time promotion running until the conclusion of this month, the bank has entirely waived off processing fees for these loans. Bank of India proudly asserted that at the reduced rate of 8.3 per cent, it stands as the institution offering the lowest rate among its counterparts in the industry.
In comparison, the lowest rate for leading players such as SBI and HDFC Bank commences at 8.4 per cent. The offer, which extends until March 31, presents an opportunity for prospective homebuyers to take advantage of competitive rates from the Bank of India.
Furthermore, the bank announced a special financing option for rooftop solar panels, available at a reduced interest rate of 7 per cent, with no processing fee involved. With a 30-year tenor home loan set at 8.3 per cent interest, the initial equated monthly instalment (EMI) for every lakh borrowed is estimated at Rs 755 per month.
The bank elaborated that the loan package includes an overdraft facility, enhancing its appeal by offering homebuyers a flexible and comprehensive financial support system.
In addition to covering conventional needs such as home construction, renovation, and furniture, the bank's home loan portfolio has expanded its horizons to encompass initiatives promoting clean and renewable energy solutions. As part of this effort, the bank now extends financial assistance for the installation of rooftop solar panels, up to a limit of Rs 10 lakh, at the same interest rate applicable to home loans.
Loans designated for rooftop solar panels are offered at an attractive rate of 7 per cent, with no associated processing charges. Through this initiative, individuals seeking to establish solar rooftops can secure financing for up to 95 per cent of the project cost, with a maximum repayment period of 120 months.