IDBI Bank Launches Repo-Linked Home, Auto Loans
LIC-owned IDBI Bank said it has launched home and auto loan product linked to the repo rate. It has also introduced bulk deposits linked to the repo rate in select buckets.
The lender is offering home loan for up to Rs 75 lakh with a tenor of up to 35 years. The interest rate on home loan will be from 8.30 percent per annum onwards, currently, the bank said in a statement.
Auto loan will be offered for up to Rs 25 lakh covering the on road price with a tenor of up to seven years.
The loan will be extended exclusively for new four-wheeler loans. Currently, the interest rate on auto loan will be from 8.90 percent per annum onwards.
"Our retail segment loan book is growing at 19 percent year-on-year and this measure will surely help us to improve the business under the segment," its managing director and CEO Rakesh Sharma said.
The banks customers will have the twin option of selecting either the MCLR linked product or the newly launched repo rate linked product.
The revised rates are applicable from Sept. 10.