ICICI Bank woos homebuyers ahead of festive season; offers 1% cashback on home loan EMIs

To woo homebuyers ahead of the festive season, private-sector lender ICICI Bank announced the launch of a new home loan scheme, under which the bank will give 1 percent cashback to borrowers on every EMI for the entire tenure of the loan. The scheme is available for home loans with a minimum tenure of 15 years to both residents as well as NRI (non-resident Indian) borrowers. However, the first cashback will be credited only after 3 years of EMI payment or the 36th EMI.

"This new home loan empowers borrowers to select their preferred mode of cashback. They can choose to utilize the cashback to prepay the principal outstanding of their home loan or take credit in their ICICI Bank account," said ICICI Bank.

Cashback benefit will be offered for up to 30 years along with balance transfer facility, it added. The interest rates for ICICI Bank home loans start at 8.35 per cent for women and 8.40 per cent for rest of the borrowers.

ICICI Bank had earlier launched a scheme to offer 20 per cent cashback up to Rs 10,000 debit card and credit card purchases for its customers availing home loans in the three-month period from September 1 to November 30. ICICI Bank is also offering home loans at zero processing fee when you upload documents online.

The cashback offer by ICICI Bank comes at a time when banks are struggling with corporate loans.