LIC Housing Finance Cuts Interest Rates for home loans

New Delhi: LIC Housing Finance has slashed interest rates significantly for individual home loan borrowers.

The interest rate for new customers having a CIBIL score of 800 or more will be 7.5 percent. The loan amount can be a maximum of anything, the company said in a  statement.  

The rate of interest will be 7.40 percent if the new customer assigns a new/existing single premium term assurance policy with the sum assured equal to the loan amount to LIC HFL.The new rates will be applicable with immediate effect.

“We want to bring confidence back to the sector and will do our part in supporting the real estate industry and the economy,” said Siddhartha Mohanty, MD & CEO, LIC HFL. 

The reduction by the company comes soon after a number of banks and NBFCs have slashed interest rates for home and other loans. The interest rates have come down by as much as 75 basis points in some cases.

The Reserve Bank of India, earlier this month, had cut the Repo Rate by a massive 75 basis points in one go so as to provide liquidity into the system. Since then, many banks have cut interest rates sharply.