Source: Agencies02 Aug 2016 17:00:58

New Delhi, August 2: State Bank of India has launched two new schemes of loans for the employees of central as well as state government, public sector undertaking employees and Defence personnel. According to new schemes borrowers will enjoy cheaper interest rates and government employees with installment tenure extending up to 75 years of age.
The bank has introduced ‘Privilege Home Loan’ for government employees and ‘Shaurya Home Loan’ for Defence Personnel with pensionable service. Under the new schemes, loans will be available without any processing fees. The interest rates will be 0.05 percent less than current interest rates on home loans.

Launching two new schemes, Bank said, “Government employees will have the flexibility of repaying home loans up to the age of 75 years. Under the existing home loan schemes, repayment is normally available up to the age of 70 years.”

Notably, SBI launched new plans considering the implementation of 7th pay commission which will lead to increase in the salary and wages of central and state government employees. This step of SBI will lead a good opportunity for loan borrowers to avail home loans on less interest rate and to buy their dream home. It will also bring boost in the economy of SBI as their business will expand more.