LIC HFL reduces home loan rates by 0.25 per cent

Housing finance company LIC Housing Finance (LIC HFL) on Monday said it has reduced home loan rates by 0.25 per cent with effect from October 15.

The new rates on home loans are applicable up to November 30. LIC HFL is also offering lower processing fee during the period, a company press release said.

"The rate of interest for Bhagyalakshmi Plus, designed for women borrower as first property owner, will be from 10.10 per cent onwards for the first fixed period of two years," LIC HFL said in the release.

An additional rebate of 0.25 per cent throughout the loan term is applicable after conversion to floating rate after the fixed period, the release said.

Super Choice scheme for general borrowers will carry interest rate from 10.35 per cent. In this scheme, the interest rate will be fixed for the first 2 years and converted to floating thereafter, the release said.

LIC HFL also reduced interest rates by 0.25 per cent in its other schemes like New Fixed 10 starting from 11.25 per cent which is fixed for 10 years with choice given to borrowers to exercise conversion to floating at the end of 5 years.

Sure Fixed which is pure fixed product, offers interest rate at 12.25 per cent, the release said.