Home loans have had quite a demand since the lockdown has begun. Previously all the banks were in a rat race to cut down their interest rates to a minimum. HDFC, SBI sure were the leading candidates. However, UCO Bank is also on track now. On Wednesday, UCO Bank reported a cut in the interest rates on home loans by 25 bps basis points, this was announced by the bank to the people. This drop can encourage a more immense amount of people to get home loans.
The updated home loan interest rates start from 6.90 percent, regardless of the loan amount and profession of the borrower, according to a study by the news agency PTI (Press Trust of India). The profession has always been an obstacle for those who desperately want houses. However, this move by the UCO might help it get more customers as it has made home loans accessible to all.
The bank that is now owned by states, reports pre-booking at a faster pace in the festive months of October and November. The MSME segments have already been given the required approval for the amount of Rs 1,900 crore. They are sure that they will reach their year-goal of Rs 3,000 core. Shelling out Rs 3,000 crore of home loans can indeed make heads and tables turn in the favour of UCO Bank. The above news was reported by the PTI (Press Trust of India), hence it is a legit source of information.
Overall, the entire home loan market seems to be increasing as there are people and youth turning to it. Due to the Work from Home (WFH) scenario, most of the working people feel the need to have their own houses. Other than that, there have been incidents recorded of people being evacuated of their hoses for not being able to pay rents. Hence, in this case, paying EMI (equated monthly installments) and getting the authority is much better than paying the rent and getting nothing in return.