Claims to have the lowest base rate in the market.
Is the SBI chairman leaving the bank in a stronger and better position than what it was? Abhijit Lele finds out.
SBI has sought to be a lender of choice through aggressive cuts in lending rates. But borrowers need to do a proper analysis.
On the day RBI announced a slew of measures to suck liquidity from the system to stem rupee volatility, a senior SBI official had told PTI that the bank was carrying an actual lendable surplus of Rs 20,000 crore (Rs 200 billion).
'We are working with a few housing finance companies to drive affordable lending because that's where we believe our sweet spot is.'
The central bank tweaked the retail inflation range to 4.8-4.9 per cent in the first half of 2018-19, and 4.7 per cent in the second half.
The offer will be available for all customers who avail of at least a part of the loan by June 30.
Processing fee waived on car, gold and personal loans till December
Women employees of SBI can now take two-year sabbatical leave from work for purposes like children's education.
Barring stray references such as the 'dual control' of banks and shifting the goalposts during demonetisation, he is not in a fault-finding mode with the government, notes Tamal Bandyopadhyay.
Do you have financial planning or income tax queries? Ask rediffGURU Anil Rego.
The bank will give 3.25 per cent interest on savings bank deposits with a balance exceeding Rs 100,000. At present, the interest rate is 3.5 per cent.
While taking gold out of the closet to borrow money is no longer taboo in Indian households, the sharp drop in gold prices is hitting the newest loan product on the banking turf hard, explains Tamal Bandyopadhyay.
Within hours of rate cut announced by RBI, United Bank has reduced the benchmark lending rate by 0.25 per cent, while other banks including market leader SBI have indicated that they would follow suit.
SBI's gross NPA figures have shown a decline for three consecutive quarters.
HDFC charges 9.85 per cent for women and 9.9 per cent for others.
Private sector lender ICICI Bank has revised its external benchmark lending rate (EBLR) to 8.10 per cent, and state-owned Bank of Baroda has raised the rate to 6.90 per cent with immediate effect after the RBI hiked the key repo rate. Likewise, two other public sector banks -- Bank of India and Central Bank of India -- have also raised the repo linked lending rate. In an out of turn Monetary Committee Meeting (MPC), the Reserve Bank on Wednesday announced to hike the benchmark repo rate -- the short term lending rate it charges to banks -- by 0.40 per cent to 4.40 per cent with immediate effect, aimed at taming the rising inflation caused by the global geopolitical situation.
Senior bankers are trying to impress upon the central bank that the shift to external benchmark-linked lending be postponed to April 1, 2020.
Country's largest lender State Bank of India might continue with eight per cent concessional home loan rate even after September, a top official of the bank said.
Why are investors gung-ho about State Bank? asks Tamal Bandyopadhyay.
MCLR-linked loans are more responsive to RBI's rate movements, and rate cuts may be transmitted to borrowers in a manner useful to them.
It seems illogical to blame SBI for under-cutting rivals or not increasing the size of the housing pie. The danger in following this practice is that it could lower the quality of assets, invite borrowers who may not be good credit risks, and thereby buy a future headache.
The RBI, which has no interest or mechanism to get feedback from bank customers, is unaware of this. If made aware, it remains silent, proving that it has no problem in allowing lenders to short-change its customers, says Debashis Basu.
Loan rates for retail borrowers as well as op-rated companies have crossed 10 per cent, with the cost of funds having risen in the past three months due to the liquidity crunch that banks have been facing.
The governor made it clear that the RBI is aware of what's happening and acts accordingly, but doesn't make a noise about that, points out Tamal Bandyopadhyay.
RBI on Tuesday took steps to discourage teaser loan rate schemes, which have a fixed component initially before becoming floating, in order to rein in 'loose practices in pricing of risks in the housing sector'.
'The effect will be seen two-three quarters down the line.'
After a marginal increase in home loan rates, prime lending rate and domestic deposit rates, the largest bank of the country State Bank of India on Wednesday revised upwards the interest rates on non resident Indian deposits.
State Bank of India (SBI), the country's largest lender, has decided to increase its base rate or minimum lending rate by 20 basis points (bps) from Thursday, to 10 per cent from the present 9.8 per cent.
GE Money India is looking for a strategic partner to drive scale just as it did with the State Bank of India (SBI) for its card business. It is trying to replicate its card model in its joint venture with Wizard Home Loans, a non-banking finance company from Australia.
The prime minister's sop is expected to give a massive boost to priority-sector housing loans, thereby pulling the entire housing loan portfolio of banks.
Under the teaser rates scheme, home loans are offered at 8 per cent in the first year and will be fixed in the initial years and turn floating in the remaining years.
Today, the economy requires a certain amount of push not just from the monetary policy but also from its transmission: Das.
Home, auto and corporate loans are likely to become cheaper as the Reserve Bank on Tuesday slashed the short term lending rate sharply by 0.50 per cent to 8 per cent, signalling banks to cut rates.
SBI's overall gross NPA as on end-December 2013 was close to Rs 68,000 crore ( Rs 680 billion) or 5.73 per cent of its gross advances.
Lenders in India, comprising banks and finance companies, anticipate robust growth in retail credit during the upcoming festival season, stretching from September to December 2023. This expectation is based on resilient demand, government initiatives, and elections in key states.
Omkeshwar Singh, Head, Rank MF, a mutual fund investment platform, answers your queries.
Kochhar brothers stepped down from the board of Credential Finance by 2009. While Deepak Kochhar started NuPower Renewables, Rajiv set up Avista Advisory Group
Announcing the reduction in interest rate, SBI managing director and group executive (national banking) A Krishna Kumar said the base rate will also remain unchanged at 10 per cent.
Banks will introduce hybrid home loans with stiff penalty on prepayment and shifting.
