Home loans are being offered at special concessional interest rates for customers in Kerala by State Bank of India (SBI), Muthoot HomeFin and LIC Housing Finance. SBI will be offering term loans at interest rates of 8.45% for amounts up to Rs. 10 lakh for renovation and repair of homes for those affected by the floods in Kerala. There will be no processing fees for these loans. This rate of interest will apply for home loan applications for renovation and repair that are submitted on or prior to the 30th of November, 2018.
LIC Housing Finance will be offering loans up to Rs. 15 lakh at 8.5% under the Kerala Flood Scheme. These amounts will be given for the repair, rebuilding, up-gradation and renovation of properties situated in flood impacted areas. The last date for applying for these loans is the 31st of October, 2018. LIC Housing Finance has also confirmed that no added charges will be imposed on account of late EMI payments for August and September this year.
All other charges like recovery charges and late payment charges have been waived off till September 2018 as per reports. Muthoot HomeFin is a subsidiary of Muthoot Finance and has come up with its Punarnirman Kerala scheme. Special home reconstruction and renovation loans will be offered in areas affected by the floods. Loans up to Rs. 10 lakh will be processed with minimal documentation and also with longer loan tenors.
The validity of the scheme extends till the 31st of December, 2018. 20 years will be the maximum loan tenor as per the company. PMAY (Pradhan Mantri Awas Yojana) subsidies may also be applicable in case of borrowers who are eligible according to Muthoot HomeFin.