The largest private lender ICICI Bank on Monday said it will offer loans of up to Rs15 lakh at base rate -the minimum lending rate -in rural areas. The bank has linked up the rate of rural home loans to the base rate, which currently stands at 9.70 per cent. Its larger rival SBI provides home loan to women borrowers at base rate at a similar pricing level. “ICICI Bank is committed to supporting the socio-economic development of a larger section of society,” Executive Director Rajiv Sabharwal said in a statement.
ICICI Bank said rural loans will be available in 189 of its 4,052 branches. The ticket size under the product christened 'ICICI Bank Saral-Rural Housing loan' is between Rs5 lakh and Rs15 lakh and the tenure is 3-20 years, it said.
The rate of interest will be floating, which means it will be revised with the movement in the base rate across the loan tenure. Rural borrowers can avail of the loan to purchase or construct or renovate a home, it added.