Under the revised rates applicable from 29th November, Union Bank's educational loan rates would go down by 1.5-2% while the interest on home loans above Rs30 lakh will be cheaper by 0.25%
Mumbai: State-run Union Bank of India has reduced education loan rates by up to 2%, and a category of home loans by 0.25%, as the focus of the banking industry shifts to retail borrowers, reports PTI.
Under the revised rates applicable from 29th November, educational loan rates go down by 1.5-2% while the interest on home loans above Rs30 lakh will be cheaper by 0.25%, the bank said in a statement.
Educational loan of up to Rs7.5 lakh can be availed at an interest of 12.75% while that above Rs7.5 lakh will be priced at 12.50%, it said.
For home loans up to Rs75 lakh, credit will be available on par with the base rate at 10.50%; for loans above Rs75 lakh and up to Rs 5 crore, the interest gets reduced to 0.25% over the base rate.
Demand from the corporate side has dried up due to gloomy economic conditions, which have forced bankers to shift focus towards the retail segment, where demand continues.
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