As the festive season has kicked in, the State Bank of India (SBI) is offering lucrative discounts on home loans. Under a special campaign for home loan borrowers, the country’s top lender is offering concessions of up to 65 basis points (bps). The last date for the concession on home loans is 31 December 2023, the lender mentioned on its website. The concessions are based on the CIBIL score.
What is CIBIL Score?
CIBIL Score is a three-digit numeric summary of a borrower’s credit history. Simply put, it means how well you have managed your finances, like a home loan, personal loan, or credit card, in the past. The value of Credit Score may range between 300 to 900.
“Key factors affecting a person’s CIBIL score include payment history, credit utilization ratio, credit mix, credit history length, new credit applications, public records, derogatory marks, total outstanding debt, and credit account age,” said Mahesh Shukla, CEO & Founder, PayMe
750-800 CIBIL Score
For CIBIL Scores ranging between 750-800 and above, the home loan interest rate during the offer period is 8.60%, a concession of 55 bps.
700 -749 CIBIL Score
For CIBIL Scores ranging from 700 to 749, SBI is offering a discount of 65bps during the offer period. The effective rate during the offer period is 8.7%
550- 699 CIBIL Score
However, for CIBIL Scores ranging from 550-699, the bank is not offering any discount. The effective rate is 9.45% and 9.65% respectively.
151-200 CIBIL Score
For CIBIL Scores ranging from 151-200, SBI is offering a discount of 65bps during the offer period. The effective rate during the offer period is 8.7%
101-150 CIBIL Score
However, for CIBIL Scores ranging from 101-150, the bank is not offering any discount. The effective rate is 9.45%.
SBI has listed some of the important points related to this special campaign on home loans
For home loan takeovers, resale, and ready-to-move properties
20 bps additional concession over the above-proposed rates (For CIBIL Score of 700 and above).
For builder tie-up projects
5 bps additional concession over the above-proposed rates
For Shaurya, Shaurya Flexi, Shaurya Flexi Vishisht Product
10 bps additional concession over the above campaign rates.
-The above campaign rates are inclusive of interest concessions available to women borrowers and concessions available at the product level (i.e.. Concessions built into the card rate)
-A premium of 10 bps for loans up to 30 lakh for LTV >80% & < =90% shall continue.
-5 bps concession on card rates for MaxGain & Realty loans for borrowers with CIBIL Score greater than or equal to 750.
-Floor Rate: EBR – 0.75% (i.e. 8.40% presently)
Updated: 06 Sep 2023, 01:06 PM IST