Bank of Baroda Reduces Interest Rates on Home loans to 6.5 percent For a Short Time

On April 22, 2022 the state-owned Bank of Baroda announced a temporary reduction in the interest rate on house loans to 6.50 percent per year from 6.75 percent per annum. The bank stated in a statement that the higher rates, which are tied to the borrower's credit profile, are effective until June 30, 2022.

"We have seen a significant increase in home sales over the last several months and we are delighted to extend the good times for home buyers by introducing a special, limited-time interest rate offer of 6.50 percent with no processing fees," H T Solanki, the bank's General Manager (mortgages and other retail assets), said in an update.

Customers applying for new home loans as well as debt transfers will be eligible for the new rate. It is accessible on all loan amounts and will be made available to borrowers with a Cibil score of 771 or above.

It's worth noting that the lender was giving house loans to select consumers at a 6.5 percent interest rate through March 31, 2022. From April 1, 2022, it boosted the rate to 6.75 percent and then lowered it again.