With effect from June 20, new home loan interest rates will begin at 7.50 percent.
LIC Housing Finance, sponsored by the Life Insurance Corporation, has increased its prime lending rate by 60 basis points effective Monday. The interest rate on house loans has also increased due to this increase, making EMIs more expensive.
Y Viswanatha Gowd, Managing Director and Chief Executive Officer, stated, “The increase in interest rates is following market expectations. When compared to previous years, the rates are still relatively competitive. As a result, demand for house loans will remain stable. “PTI broke the story.
According to the company’s announcement, the new interest rates on house loans will begin at 7.50 percent on June 20.
The prime lending rate (LHPLR) of LIC Housing is set at 15.30 percent, according to the company’s website.
For salaried and professional house loans of more than or equal to ten lakh rupees, the interest rate is 7.50 percent. Furthermore, this interest rate is only available to borrowers with a CIBIL score of 700 or above.
Furthermore, salaried and professional borrowers with a CIBIL of 700 or above would pay an interest rate of 7.55 percent on house loans up to 50 lakh and 7.755 percent on loans between 50 lakh and two, and 7.90 percent on loans between 2 crore and 15 crores.
Interest rates will be 7.80 percent up to 50 lakh for CIBIL scores of 600-699, 8% up to 2 crores for scores of more than 50 lakh, and 8.15 percent for scores of more than two crores and up to 15 crores for CIBIL scores of 600-699.
A credit score of less than 600 will result in an interest rate of 8.25 percent on house loans up to 50 lakh, 8.45 percent on loans between 50 lakh and two crores, and 8.65 percent on loans between 2 crores and 15 crores.
For salaried and professional borrowers with credit scores of 101-200 or NTC, the interest rate is 8.20 percent on loans up to 50 lakh and 8.40 percent on loans of more than 50 lakh to 1 crore.
After the RBI boosted the policy repo rate by 50 basis points to 4.90 percent to combat multi-year high inflation, banks and financial institutions began raising their lending rates. RBI has raised the repo rate by 90 basis points in the last two months.
