SBI's special campaign: Up to 65 bps concession on home loans | Fusion - WeRIndia

In a bid to make homeownership more accessible and affordable, the State Bank of India (SBI) has launched a special campaign on home loans, offering significant concessions of up to 65 basis points (bps).

This limited-time offer applies to a range of home loan products, presenting an excellent opportunity for prospective homebuyers.

These include regular home loans, flexipay, NRI loans, non-salaried loans, privilege loans, and Apon Ghar loans. The campaign is set to run until December 31, 2023.

Currently, the External Benchmark Rate (EBR) stands at 9.15%. However, SBI’s concession scheme brings down the effective interest rates, making homeownership more achievable for borrowers across various credit profiles.

For individuals with an impressive CIBIL score falling within the range of 750 to 800 or higher, the effective rate during this promotional period is reduced to 8.60%, offering a substantial concession of 55 bps.

Borrowers with a CIBIL score between 700 and 749 will also benefit significantly, as they can avail of a 65 bps concession, resulting in an interest rate of 8.70% (EBR – 0.45%). This compares favourably to the standard effective rate of 9.35% without the concession.

However, those with a CIBIL score ranging from 650 to 699 won’t receive a concession, with their interest rate set at 9.45% (EBR – 0.30%).

For borrowers with scores between 550 and 649, the rate stands at 9.65% (EBR + 0.50%).

Even those with CIBIL scores between 151 and 200 can take advantage of a 65 bps concession, bringing their effective rate down to 8.70%, making homeownership more accessible for a broader range of customers.

In terms of processing fees, SBI applies a sliding scale. For regular home loans, the fee ranges from a minimum of ₹2,000 plus applicable GST to a maximum of ₹10,000 plus applicable GST, or 0.35% of the loan amount.

This fee structure also applies to other home loan products such as NRI, Realty, Maxgain and many more. It also applies to Apon Ghar loans exceeding ₹15 lakhs.

It’s worth noting that the campaign offers additional concessions for HL takeovers, resale, and ready-to-move properties, with 20 bps off for those with CIBIL scores of 700 and above.

The rates are also inclusive of interest concessions available to women borrowers and product-level concessions.

SBI’s special home loan campaign represents a significant opportunity for individuals looking to own their homes.

With substantial concessions based on credit scores, this initiative aims to make the dream of homeownership a reality for a more extensive range of borrowers.

The campaign’s affordability and accessibility measures are poised to benefit many prospective homebuyers until the campaign concludes on December 31, 2023.

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