Bank of Maharashtra (BoM) has cut its home loan and car loan interest rate to 6.40 per cent (against 6.80 per cent now) and 6.80 per cent (7.05 per cent), respectively.
The Pune-headquartered public sector bank said the new interest rates under the ‘Retail Bonanza-Festive Dhamaka’ offer are effective from December 13, 2021.
The aforementioned rates are linked to borrowers’ credit score.
The rate cut comes in the backdrop of the Bank building a healthy portfolio of low-cost current account, savings account (CASA) deposits, which accounted for about 54 per cent of its total deposits as of September-end 2021.
Further, the Bank of Maharashtra is focussing on growing retail loans. Within retail loans, housing loans grew by 20.35 per cent year-on-year/yoy growth as at September-end 2021, and vehicle loans by 27.15 per cent y-o-y.
The Bank of Maharashtra had earlier waived processing fee for its gold, housing and car loans under the festival offer.
A S Rajeev, Managing Director & CEO, BoM, sad, “We believe that ‘Retail Bonanza-Festive Dhamaka’ offerings will help customers to save more on their loans.”
Hemant Tamta, Executive Director, emphasised that with the festival offer, BoM is providing one of the lowest interest rates in retail loans, especially for housing and car loans, in the industry.