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Kotak Mahindra Bank cuts home loan rates to 6.65%


On Monday, Kotak Mahindra Bank announced a 0.10 percentage point cut in its mortgage loan rates for a limited period, indicating that its bid is the lowest in the market. The bank said in a statement that customers will be able to take advantage of the 6.65 percent mortgage loan until March 31 as part of a special offer after the interest rate cut. The move comes hours after SBI, the leader in the housing loan sector, cut its bid to 6.70 percent. Mortgage loan rates were already at their lowest level in 15 years, as banks compete in a market with low credit demand. Kotak Mahindra said interest rates are linked to borrowers' credit scores and loan-to-value (LTV) ratio. “We are pleased to offer customers a year-end bonus in the form of lower interest rates on home loans,” said Head of Consumer Assets, Ambuj Chandna. He noted that the 6.65% rate applies to housing loans and balance transfer loans in all amounts. Also Read: SBI Home Loan Prices reduced to 6.70 %