IDBI Bank cuts home, education loan rates by 0.5%

IDBI Bank on Saturday reduced its home and educational loan rates by 50 basis pts with immediate effect, shortly after the Reserve Bank announced cut in short-term lending rate and key deposit requirements by banks.
The rate cut would be applicable to both existing and new customers, the bank said in a press statement here.
Following the revision, home loans would be now available at an interest rate of 11 % against 11.50 % earlier, the bank said.
Simultaneously, the margin on housing loans has been enhanced from 15 % to 20 % for loans of up to Rs 30 lakh and to 25 % for loans over Rs 30 lakh, the bank said.
Country’s second largest public sector lender Punjab National Bank had recently cut its prime lending rate by 0.5 % effective from November 1, and deposit rates from December 1.