The State Bank of Travancore offers online home loan at 8% interest

The State Bank of Travancore has given a double boost to the sagging home loan business, offering home loans at 8% for one year as against the current rate of 10.25%, and offering home loan applications on the net.

SBT managing director A K Jagannathan said here that the twin moves were expected to provide a shot in the arm for the bank’s home loan business as well as giving a stimulus to the housing sector.

In addition, the bank will offer car loans
to customers at 10% for one year, as against the existing rate of 11.5%. Mr Jagannathan said the special interest rates for one year would revert to the existing rate after the term, and the new rates would depend on the prime lending rates existing at that time.

He said SBT was working on strategic initiatives and new businesses and was aspiring to be one of the top five banks in the country. Towards this end, mobile banking business was also on the bank’s radar, he said.

SBT is the leader in Kerala in NRI remittances and the bank has so far recorded remittances to the tune of Rs 13,000 crore this fiscal. Mr Jagannathan said SBT was also the fourth largest among banks in the country in the car loan portfolio.

The bank has tied up with Avenues India for e-commerce facilities, which will enable its customers to be connected to over 2,500 e-merchants across the country and conduct transactions in a safe and secure manner.

SBT’s net profit for the first three quarters of 2008-09 was Rs 415.81 crore, as against Rs 236.91 crore in the corresponding period of the previous year. The total business of the bank crossed the Rs 71,000 crore milestone at the end of the third quarter.

Read More From:Economic.indiatimes.com