HDFC hikes home loan rates by 50 basis points

Mumbai, Aug 1 (UNI) Housing Development Finance Corporation (HDFC) today announced it has raised home loan rates across the board by 50 basis points consequent to Reserve Bank of India(RBI) hiking short term lending and borrowing rates by 0.25 per cent last week as an effective measure to contain inflation.

HDFC spokesman merely said the mortgage company has raised home loan rates but refused to elaborate any further.

Contrary to expectations, HDFC, however, has not changed interest rates on deposits and no official was willing to offer any explanation in this context.

With this hike, the floating rate for home loans by HDFC will be 9.5 per cent as against the previous 9 per cent, while the new fixed rate will be 11 per cent from 10.5 per cent earlier.

The primary lending rate of the banking major will be 12.25 per cent against earlier 11.75 per cent.

UNI SN MAZ AW1557