ICICI Bank, India’s largest private sector bank, introduced a new product — ICICI Bank Saral-Rural Housing Loan — which will carry only the bank’s base interest rate.
“Applicants from rural areas including women borrowers as well as seekers from weaker sections can now avail home loans at the ICICI Bank Base Rate which is currently at 9.70%. An eligible borrower can take up to Rs.15 lac,” the bank said.
The rate offered is 0.2 percentage points below what is offered to non-rural segment.
The current interest rate offered by ICICI Bank on home loans is 9.9% per year.
“ICICI Bank is committed to support the socio-economic development of a larger section of the society. We believe that ‘ICICI Bank Saral-Rural Housing Loan’ will empower customers including women borrowers in the rural locations to realize the dream of owning a home at an affordable interest rate,” Rajiv Sabharwal, Executive Director, ICICI Bank.
The customers can avail the loan to purchase or construct or renovate a home in rural areas.
Interested customers can apply for the ‘ICICI Bank Saral-Rural Housing Loan’ at any ICICI Bank branch in the locations where the loan is being offered.
The loan amount will be between Rs 5 lac and Rs 15 lac, while the tenure can be anywhere from 3 years to 20 years. Interest rate will keep changing as the bank changes its base rate.
ICICI Bank has 4052 branches and 12,811 ATMs in India.
The bankk said that the definition of weaker section and rural areas is as per the Circular of Refinance Schemes for Scheduled Commercial Banks by National Housing Bank (NHB) dated 01-02-2013.
‘Rural area’ is defined as the area comprised in any village, including the area comprised in any town, the population of which did not exceed 50,000 as per the 1991 Census, it said.