State Bank Of India launched two new home loan products for defence and other government employees to make best use of 7th pay commission release.
These specially designed home loan products are 'SBI Privilege Home Loan' for government employees and 'SBI Shaurya Home Loan' for defence personnel.
The launch of 'SBI Privilege Home Loan' and 'SBI Shaurya Home Loan' products is timed with the notification of 7th Pay Commission recommendations. Surplus income can thus be utilised by government employees and defence personnel towards purchase of new/better house," SBI said.
The bank said the tailor-made products will help customers purchase a spacious or luxurious home without stretching their post-retirement finances. The new product includes extending the repayment term till the borrower turns 75 years from the existing 70 years, and also a full waiver of processing fees, it said.
There will be a lower EMI burden post retirement and 0.05% concession over the home loan interest. "Benefit of lower interest rate as a concession of 5 bps (0.05%) over the home loan card interest rate is available wherever check-off facility is extended by the government under tie-up arrangement with the bank," SBI said to PTI.