UBI's festive offer, cuts interest rates on home, auto loans

Union Bank of India (UBI), today said that it has reduced interest rates on its housing and auto loans as a part of a festival offer.

The public sector lender would now offer home loans at 8.50 per cent for the first three years and at floating rate linked to its benchmark prime lending rate from the fourth year onwards for loans up to Rs 50 lakh, a press release ssued here said.

For loans above Rs 50 lakh, UBI now offers a concession of 0.25-1 per cent over floating rates for the first three ears depending the tenor of the loan. Interest rates for car loans have also been reduced by 0.75-1 per cent, depending on the tenor, the release said.
  
For a tenor of upto three-years, the new rate will be 10 per cent and for a period between 3-5-years, the reduced rate will be 10.50 per cent, the release said. The festive offer will be effective from September 1 to October 31.