Prime Time Zone, Webdesk: Kotak Mahindra Bank has announced a 10 basis point cut in home loan interest rates. This is lower than the offers currently on the market. The interest rate cut is for a limited period of time and customers will be able to avail 6.65 per cent home loans till the 31st of this month, the bank said in a statement. Kotak Bank on Monday issued a statement after public sector giant SBI cut its home loan rates to 6.70 per cent.
Banks are competing to cut interest rates in the face of low demand for loans. Already home loan rates have reached a 15-year low. Kotak Bank said the latest interest rates will be tied to the credit score and loan-to-value ratio of borrowers. Ambuj Chandna, President, Consumer Assets Division, Kotak Bank, said, “We are pleased to offer the end of this financial year special bonus to customers with low home loan interest rates.