Here is a list of schemes with zero processing fees, lower EMIs and much more
Several banks are
introducing a plethora of benefits in the form of home loans particularly to
the state as well as central government employees with defence personnel.
Bankers normally extend striking interest rates on home loans to government
employees when compared to the general class. Apart from this, home loans for
these employees are filled with benefits like zero/low dispensation charges, inexpensive
EMIs, no penalizations on pre-payment and much more. Conspicuously, home loans
are a superior medium for borrowers to finance their dream house, since these
are flexible, decrease the load of heavy expenditures and permit repayment in a
Home loans from SBI for government employees
India’s biggest moneylender State Bank
of India (SBI) has declared that it will offer less expensive home loan schemes,
SBI Privilege Home Loan and SBI Shaurya Home Loan to Central government workers
and defence personnel as their repayment capacity has increased in the wake of
the administration’s acknowledgment to the recent proposition of the Seventh
Pay Commission to hike the salary of these staff by 23.55%. The rise in allowances
turns out to be 63%, as indicated by the proposals of the commission. According
to the new plans, SBI has brought down the interest rate by 0.05% (5 basis
points) while offering employees the alternative to reimburse the loan up to 75
years of age, rather than 70 years as of now.
In case you are a central government employee, and seeking a home loan, then for your convenience here is a list of excellent ones provided by banks.
1. SBI privilege home loan:
SBI Privilege Home Loan is
merely meant for government employees. People who are employed with Central or
State Government which incorporates PSBs, PSUs of Central Government, as well
as other individuals with pensionable services, are qualified to apply for this
The loan sum will be ascertained
by considering factors like income of the applicant and their repaying
capability, age, assets as well as liabilities, price of planned house/flat and
Features of the SBI Privilege Home loans are as below:
Lower rate of interest
Processing charge is zero
No hidden costs
No penalty for prepayment
Interest will be charged
on every day decreasing balance
The loan can be repaid
up to 30 years
Women borrowers will
get an interest concession
If Check Off is
furnished then interest concession
Full discharge of processing
18 years minimum age
and 75 years is maximum age
The loan term is up to
Rate of interest on these
kinds of home loans is offered, between least 8.60% and 9.25% reckoning on the
amount that has been decided to borrow. If a woman borrows under this scheme
then the interest rate ranges from lowest 8.55% to 9.15%.
2. SBI Shaurya Home loan:
SBI Shaurya Home Loan plan
is committed to the Army plus Defence Personnel of the nation. This unique home
loan plan will be merely rendered to the defence employees.
Two different rates of
interest are provided by SBI under this scheme: check off as well as with no
With check off
A home loan with check off denotes
that the employer accords to take away EMIs from the salary of the employee and
forward the same amount straight to the latter’s lender that is the bank.
The rate of interest for women
borrowers in both instances that is with check off or without check off is
same. Other categories of people who opt without check off facility get a 5
basis point of the higher rate provided on home loans. Therefore to go with check
off facility is without a doubt a much better option.
Moreover, there is an
interest concession for ladies borrowers, in addition, to check off the home loan.
Likewise, there is Zero
processing charge and no hidden charges for pre-payment while a penalty is
imposed in this home loan.
Further, one of the
fascinating key highlights is that the rate of interest depends on daily
decreasing balance. In addition to this, the term given under the SBI’s Shaurya
home loan is a bit higher, while the repayment tenure is maxed up to 30 years.
The rate of interest is
imposed relying on your term as well as the principal amount. Likewise, it is different
for women plus other classes.
3. PNB Pride housing loan:
The PNB Pride housing loan is
to guarantee the accessibility of Housing Loan at striking rates as well as make
sure that all government employees have a house.
PNB’s rate of interest for
these employees is at MCLR plus 0.20% spread on a home loan up to Rs 75 lakh.
While MCLR plus 0.25% spread is given on more than Rs 75 lakh loans. PNB’s MCLR
is at 8.45%.
Advance for completing
repairs/renovation/alterations of the house/flat: maximum is 15 years
comprehensive of moratorium period, if any,
While a loan for
others: is maximum 30 years
comprehensive of moratorium period, if any.
The pay of the life partner
and earning children regardless of whether married or unmarried and of the
joint proprietors can be included for deciding the income to compute the
borrowers’ reimbursing capability.