September 30, 2016: Country’s largest lender State Bank of India announced Hope Loans. Hope Loans (#bethehope), is a new initiative launched by the bank is designed to spread the cheer to both, the fortunate and underprivileged sections of society, this festive season.
While SBI offers the lowest interest rate for both Home and Auto loans, Hope Loans makes this value proposition even sweeter. New customers availing of a Home, Auto or Personal Loan from SBI will get to join this endeavour of SBI in spreading hope and cheer among the underprivileged sections of society, this festive season.
Hope Loans – How does it work?
For every Home, Auto and Personal loan that SBI would disburse between October 1st and December 31St 2016, SBI would make a sizeable monetary contribution to recognized NGOs’ working in the area of education, health, shelter, clean energy and environment across the country.
Transactions made through State Bank Buddy digital wallet will also be included as part of this new initiative.
The larger purpose of introducing the concept of Hope Loans is to give its customers, the confidence of joining hands with a trusted and solid brand of the stature of SBI in being the hope for the under privileged.
Additional reduction in interest rates
Hope Loans comes with the added benefit of reduced interest rates that SBI has just announced due to the reduction in the marginal cost of lending rate (MCLR). On an Rs. 50 lac Home loan, for example, one would get to save approximately 3.5 lacs for a 30 year tenor compared to the same period last year. With the reduction in MCLR, the effective interest rate for Home loans will be 9.25% for women and 9.30% p.a for men and for Auto loans, it would be 9.65% p.a respectively.
Over and above, the processing fee on Car Loan has been waived. Customers availing a Home Loan on SBI approved projects, online applications or applying for transfer of Home will also benefit from the fee waiver.