The State Bank of India (SBI), one of India's largest and most prominent financial institutions, has initiated a special campaign on home loans, offering substantial concessions to potential homebuyers. This limited-time offer encompasses various types of home loans, such as regular home loans, flexipay options, loans for Non-Resident Indians (NRIs), non-salaried individuals, privilege home loans, and Apon Ghar schemes. Homebuyers have the opportunity to benefit from this campaign until December 31, 2023.
Concessions Based on CIBIL Score
SBI's special home loan campaign is designed to cater to a wide range of customers, and the extent of the concession depends on an individual's Credit Information Bureau India Limited (CIBIL) score.
CIBIL Score 750-800 For individuals with a robust CIBIL score ranging from 750 to 800 and above, the standard interest rate, without any concession, stands at 9.15%. During the campaign's duration, these borrowers will be entitled to an interest rate of 8.60%, translating to a concession of 55 basis points (bps). CIBIL Score 700 - 749
Home loan applicants with CIBIL scores falling between 700 and 749 will receive an even more substantial concession of 65 bps. Their interest rate under this scheme is set at 8.70%, calculated as the External Benchmark Rate (EBR) minus 0.45%. Without the concession, the interest rate would have been 9.35%.
CIBIL Score 151-200
Similarly, individuals with CIBIL scores ranging from 151 to 200 can also avail themselves of a 65 bps concession, resulting in an attractive interest rate of 8.70%, which is EBR minus 0.45%. This concession allows borrowers in this category to enjoy a lower effective rate, compared to the standard rate of 9.35%.
In addition to the advantageous interest rates, it is essential to understand the associated processing fees for SBI's home loans.
Home Loans - Regular
For regular home loans, borrowers can expect a processing fee that varies between a minimum of Rs. 2,000 plus applicable Goods and Services Tax (GST) and a maximum of Rs. 10,000 plus GST. Alternatively, a fee of 0.35% of the loan amount can also be applied.
Key Considerations Highlighted
- HL Takeovers, Resale, and Ready to Move Properties: Customers with a CIBIL Score of 700 and above can enjoy an additional concession of 20 basis points (bps) on top of the proposed rates mentioned earlier.
- Special Products (Shaurya, Shaurya Flexi, Shaurya Flexi Vishisht): These unique products offer an extra 10 bps concession beyond the rates mentioned in the ongoing campaign.
It's important to note that the rates outlined in the campaign already include concessions for women borrowers and other applicable discounts."Conclusion
SBI's special home loan campaign is a significant step towards making home ownership more accessible and affordable for a wide spectrum of borrowers. With substantial concessions linked to CIBIL scores and competitive processing fees, SBI aims to empower potential homebuyers and contribute to the realization of their dreams of owning a home. This limited-time offer, available until December 31, 2023, presents an excellent opportunity for individuals to secure their dream homes at attractive interest rates and favorable terms. Prospective homebuyers are encouraged to take advantage of this campaign and consult with SBI's expert team to explore their financing options and make informed decisions about their home purchase. SBI remains committed to supporting its customers on their journey to homeownership and facilitating their aspirations to own a piece of India's vibrant real estate market.