Mostly Cloudy
9°CThu :Mostly Sunny. High: 14 Low: 2

HDFC Bank cuts auto loan rates by upto 0.5%

HDFC Bank cuts auto loan rates by upto 0.5%

New Delhi: Taking a cue from RBI’s rate cut yesterday, private sector HDFC Bank has decided to slash auto loan rates by upto 0.5 percent.

The interest rate on car loan will be lower by 0.25 percent while two-wheeler loan will be cheaper by 0.5 percent, a senior bank official confirmed when contacted.

As far as the commercial vehicle segment is concerned, the reduction in rates will be 0.25 percent.

The new rates would be effective from February 1, the official added.

Last month, the bank had reduced its base rate by 0.1 percent to 9.7 percent, the lowest in the market.

At the same time, the benchmark prime lending rate (BPLR) of the bank was also slashed by a similar margin to 18.20 percent.

The revision in the benchmark lending rate was in anticipation of rate cut by the central bank in its January policy.

Yesterday, the RBI decided to reduce short-term lending rate by 0.25 percent and slash Cash Reserve Bank (CRR) by same margin to inject Rs 18,000 crore of liquidity into the system.

Following the announcement by RBI, IDBI Bank reduced both its deposit and lending rates by 0.25 percent while other banks including State Bank of India (SBI) hinted at cutting their interest rates within next few days.

The Mumbai-based HDFC Bank currently offers car loans between 10.75 percent and 11.75 percent. Post rate cut, the range would be 10.5-11.5 percent for repayment period between 36 and 60 months.

Accordingly, interest rate on two-wheeler loans would be adjusted to between 19.25 percent to 22.25 percent.

With regard to commercial vehicles, the rate on heavy commercial vehicle will be down by 0.25 percent to 11 percent while light commercial vehicle will get reduced to 13.75 percent from existing 14 percent.

The auto loan portfolio of the bank currently stands at about Rs 33,000 crore. The auto loan advances of the bank has been witnessing a growth of 12 percent.

 

Top Stories

Post retirement, PM to move to bungalow vacated by Sheila Dikshit

Post retirement, PM to move to bungalow vacated by Sheila Dikshit

February-28-2014
New Delhi: A sprawling bungalow on Motilal Nehru Place will be the abode of Prime Minister Manmohan Singh once he retires after
Sukhbir Singh Badal takes jibe at Congress, dubs it as 'politically pauper'

Sukhbir Singh Badal takes jibe at Congress, dubs it as ‘politically pauper’

February-28-2014
Muktsar: Describing Congress as “politically pauper”, Punjab Deputy Chief Minister Sukhbir Singh Badal on Friday alleged that Congress was facing severe political
Train fires: Railways to reply SC on use of sub-standard materials

Train fires: Railways to reply SC on use of sub-standard materials

February-28-2014
New Delhi: The Supreme Court on Friday sought response from the Centre and Railways on the allegation that use of sub-standard materials
Dark matter annihilation may be possible

Dark matter annihilation may be possible

February-28-2014
Washington: Researchers have claimed that gamma-ray photons observed from the center of the Milky Way Galaxy are consistent with the intriguing possibility
INS Sindhuratna fire: Police register accidental death case

INS Sindhuratna fire: Police register accidental death case

February-28-2014
Mumbai: On Thursday, police registered a case of accidental death over the fire incident on board the submarine INS Sindhuratna, in which
Electric bus service debuts in Bangalore

Electric bus service debuts in Bangalore

February-28-2014
Bangalore: State-run Bangalore Metropolitan Transport Corporation (BMTC) Friday began operating an electrically-charged bus service to provide eco-friendly public transport to commuters. Initially,