4 Best banks for Home loan in 2020

by virtualnewsusa

A home loan is a sum of money borrowed from a bank to purchase a real estate or any housing property. When you are going to take a home loan, there are many banks that provide suitable offers as per your requirements. You need to compare them with others based on some necessary factors to opt for the right one. You should also consider checking the time period, the interest rates, the performance of the bank over the years, the history of the bank with its clients, etc. There are some choices that can be considered highly suitable to opt for home loans , which are described as follows.

Some best banks to choose for home loans in 2020

The banks which are most relevant for home loans nowadays are listed below with some of the lucrative offers they are providing the people.

State Bank of India Home Loan

SBI is the largest PSB in India. However, it doesn’t provide a fixed interest rate for the home loan. The SBI Home loan interest rate varies from 7.90% to 8.80%. SBI has a popular scheme called MaxGain Home Loan, which offers a home loan against the plethora of the cash kept in your account with the interest rate range of 8.15%-9.45%. The tenure offered by the SBI can be a maximum of 30 years. SBI doesn’t charge for a pre-payment. However, the processing fee is a must, which is upto Rs.10,000.

HDFC Bank Home Loans

HDFC provides the loan on fixed, floating and TruFixed interest rates. It provides the step-up repayment facilities, the flexible plan for loan installments, EMI, which are based on Tranche and more. The payment system is very accelerated and telescopic. There are some other facilities which are described below.

  • Quickly and easy documentation verification
  • Document pick-up and submission is easy
  • Low charges
  • Helpful services.

Axis Bank Home Loan

Axis Bank provides the lowest size for the tickets as Rs. 3 lakh. The interest rates are fixed and floating, as well. The fixed-rate is 10%, whereas, the floating range is from 8.55% to 9.40%. The processing fee is a must of Rs.10,000, which is irrespective of the amount of loan. There is a charge of 2% of the amount of credit for pre-closure charges on floating interest rates as well as the part payments.

ICICI Bank Home Loan

ICICI also provides both fixed and floating interest rates for home loans. ICCI Home Loan interest rate is ranged from 8.60% to 9.40%, which can get lower for women applicants, whether its single or joint application.

The processing fees are Rs.1500 or 0.5% to 1% of the loan amount, whichever is higher. 2% of the loan amount is charged as pre-closure charges. Some other facilities are as follows.

  • Quick and simple procedure
  • Strict document verification
  • Customer-friendly service

All sorts of banks except regional rural banks are scheduled to link the interest rates of all retail loans offered by them to an external benchmark by RBI. This includes the home loan as well. Most banks chose the repo rate of RBI as the external benchmark. This repo rate is called RLLR or the Repo Linked Lending Rate. RLLR comprises the repo rate and the bank’s margin.

The banks are allowed to charge a margin with a risk premium over the external benchmark rate from their customers. The risk premium varies from one person to another while the margin stays the same for all the customers of a certain bank. If you are going to apply for some home loan in 2020, you should look into the suggestions and then, opt for one.

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