Public sector lender Bank of Baroda (BoB) has announced a significant reduction in its home loan interest rate, bringing it down from 8.40% to 8%. The revised rate is applicable on new home loans and home improvement loans, according to an official statement by the bank.
The new interest rate will be offered on loans of ₹15 lakh or more, and will depend on the applicant’s credit score.
Additional Concessions for Women and Young Borrowers
To make home ownership more accessible, BoB is offering an additional 0.05% interest discount to women borrowers, while customers under the age of 40 can benefit from an extra 0.10% concession. These benefits will also apply to ready-to-move-in property purchases and loan balance transfers.
Existing Customers Already Benefiting from RBI’s Rate Cut
The bank noted that existing home loan customers have already received the benefit of the Reserve Bank of India’s recent repo rate reduction, which contributed to the overall fall in lending rates.
Easier Loan Transfers with Home Loan Balance Transfer Scheme
Under BoB’s Home Loan Balance Transfer scheme, borrowers with home loans from other banks or NBFCs can easily shift their loans to Bank of Baroda with minimal documentation and a simplified process, allowing them to take advantage of lower interest rates.
Commenting on the rate cut, Sanjay Mudaliar, Executive Director of Bank of Baroda, said:
“With the new rates, buying a home becomes even more affordable. We are also introducing exclusive offers for select customer segments to make housing finance more inclusive and rewarding.”
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