Bank of Baroda (BoB), the third-largest public sector bank, has reduced the repo rate linked loan interest rate (BRLLR) from 7 per cent to 6.85 per cent. These new rates of the bank will be applicable from 1 November 2020. Harshad Kumar T. Solanki, General Manager (Rehan and other retail lending business) of the bank said in a statement on Saturday that it will benefit the customers of home loan, mortgage loan, car loan, education loan, personal loan etc.
Interest on home loan starts at 6.85%
Earlier, in view of the festive season, the bank offered discounts on home and car loans. After deduction of BRLLR, interest will start from 6.85 percent on home loan and 7.10 percent on car loan, 8.05 percent on mortgage loan and 6.85 percent on education loan.
Meanwhile, the other public sector bank Union Bank of India (UBI) said that it has reduced interest rates by 10 basis points for home loans above Rs 30 lakh. The bank said in a statement that women loan holders will get an additional rebate of 5 percent over this reduction in the interest rate for such loans. The new rates will be applicable from 1 November.
With this change, male loan holders, whose credit score is more than 700, will be offered a home loan at 7%. The lender further stated that it will not charge any processing fee on the home loan till 31 December 2020.
Apart from this, UBI has also waived legal and valuation charges up to Rs 10,000 in case of takeover of home loan. The bank also said that it will not take any processing charge on the car and education loan.
Bank of Baroda will implement changes from 1 November
Let us know that from November 1, Bank of Baroda is going to implement some changes for its customers. These changes are related to the service charge and checkbook associated with cash deposit and withdrawal for the bank’s current account, overdraft account, cash credit account, savings account and other accounts.
According to the information available on the bank’s website, cash handling charge for the current account/overdraft / cash credit / other accounts in the base and local non-base branches from November 1, Rs. 1000 per day on depositing more than Rs. 1 lakh cash per account. But it will be 1 rupee. This charge will be minimum 50 rupees and maximum 20000 rupees.