HDFC may cut home loan rates

MUMBAI: Home loan rates are likely to come down.

An HDFC official broke the news to NewsWire18 on Monday which was confirmed by managing director, Keki Mistry to DNA Money when he said they would review lending rates this month end.

“We will review rates but the change will depend on the cost of funds. If it comes down, we will pass it on to customers. Rates will not go up but there is no commitment to cut them,” he said.

Mistry added that there were still 11 days to go for the month to end and any decision would depend on where interest rates settle. “However, if we announce fresh cuts, the special offers will go,” he said.

HDFC was the first to announce a rate cut by way of a special offer in June. SBI also cut rates under a festive offer.

The proposed reduction may prompt other banks to review rates. But ICICI Bank has said it doesn’t plan to cut rates now. Senior general manager Rajeev Sabharwal said, “We are not planning any changes.”