With a slew of lenders offering low interest rate home loans, DHFL has also joined the bandwagon by announcing low interest rate home loan schemes for lower and middle income group.
The company announced a 25-year home loan scheme that charges a fixed rate of 8 percent per annum first two years for loans to the extent of Rs. 5 lakh and charging floating rate thereafter.
For loans above Rs. 20 lakh, DHFL has fixed a rate of 8.75 percent for two years and variable rates for the remaining tenure.
DHFL will offer customers the double benefit of lowest interest rate and an elongated period of repayment.
A number of banks such as State Bank of India, ICICI, Dena Bank and HDFC, the largest home loan provider, have reduced their home loan interest rates in recently intensifying competition in the segment.
DHFL ‘Easy Loan scheme' has been designed in such a way that borrowers are not saddled with the interest amount and the amount of EMI is low due to elongated repayment period.. The scheme offers the lowest EMI of Rs 772 per lakh.
"We are empowering the common man by providing the same eligible amount of loan at a lower interest rate, reducing the monthly installments by a considerable amount through an extended period of 25-years", ," DHFL's Chairman and Managing Director, Kapil Wadhawan said.
The offer would be available across all branches and service locations of DHFL in India and abroad and would be valid till January 31, 2010, with a partial disbursement before March 2010.
The minimum amount that a customer can avail is Rs.1 lakh and the maximum amount is Rs. 5 crore.
According to CEO Anil Sachidanand, DHFL expects an additional disbursement of Rs. 3,500 crore by the fiscal's end through this scheme.