LIC Housing Finance Limited has increased the home loan interest rates by 50 basis points. Since then, the home loan rate has now increased from 7.50% to 8%. Your EMI on the housing loan will increase after the interest rate hike. Earlier, other banks including SBI, ICICI and Bank of Baroda have also increased the home loan interest rates.
The interest will be decided on the basis of CIBIL score.
According to the website, LIC Housing gives 8.05% interest on home loans up to Rs 50 lakh and 8.25% for loans from Rs 50 lakh to Rs 2 crore. This interest rate is for those salaried and professionals whose CIBIL score is 700 or above. However, LIC is offering 8% interest rate on home loans above or equal to Rs 10 lakh under the Advantage Plus scheme of Housing, for those whose CIBIL score is equal to or above 700.
The interest rate is 8.30% for home loans up to Rs 50 lakh and 8.50% for home loans from Rs 50 lakh to 2 crore for those with a CIBIL score between 600-699. The interest rate is 8.75% for home loans up to Rs 50 lakh for CIBIL scores below 600 and 8.95% for home loans from Rs 50 lakh to Rs 2 crore.
Understand here how much more interest and installment will have to be paid
| Loan Amount (in Rs.) | Duration | Interest Rate (in %) | Installment (EMI) | Total Interest (in Rs.) | Total amount to be paid (in Rs.) |
| 10 lakh | 10 years | 7.50 | 11,870 | 4.24 lakh | 14.24 lakh |
| 10 lakh | 10 years | 8.00 | 12,133 | 4.56 lakh | 14.56 lakh |
Understand here how much more interest and installment will have to be paid
| Loan Amount (in Rs.) | Duration | Interest Rate (in %) | Installment (EMI in Rs.) | Total Interest (in Rs.) | Total amount to be paid (in Rs.) |
| 2 million | 20 years | 7.50 | 16,112 | 18.67 lakh | 38.67 lakh |
| 2 million | 20 years | 8.00 | 16,729 | 20.15 lakh | 40.15 lakh |
Note: This calculation is based on the EMI calculator of LIC Housing Finance.
At what rate of interest are other banks giving loans?
| Bank | Rate of interest (%) |
| bank of India | 7.80 |
| bank of Maharashtra | 7.80 |
| Union Bank of India | 7.90 |
| UCO Bank | 7.90 |
| Bank Of Baroda | 7.95 |
| PNB Housing Finance | 7.99 |
| SBI | 8.05 |
