State Bank of India (SBI), is likely to continue with itsspecial home loans beyond March. Underthe special scheme, for home loans of less than Rs 30 lakhs, SBI charges 8.75per cent for the first year, 9.5 per cent for second and the third year and 150basis points above the base rate from fourth year. SBI offers fixed discountson interest rates for the initial years.
SBI may tweak these rates to suit the rising interest ratescenario but may not withdraw the scheme.SBI had launched the special home loanscheme with interest rates as low as eight per cent but this was laterincreased to 8.5 per cent and was linked to the bank’s base rate.crackcrack
