LIC Housing Finance raises prime loan rate by 50 basis points to 8%

23 Aug 2022 , 09:31 AM

Monday saw a 50 basis point hike in the prime lending rate at LIC Housing Finance. As a result, instead of starting at 7.50 percent as before, the new interest rates on house loans will now begin at 8%. The increased prices will be in effect starting on Monday.

The action was in keeping with the central bank’s recent monetary policy, which saw a 50 basis point increase in the repo rate in an effort to curb inflation, which has been consistently above the upper tolerance band for several months.

“As was to be expected, the RBI’s decision to increase the repo rate by 50 basis points on August 5 was well-considered and in line with the general direction of the global economy. Even though some home loans’ EMIs or loan terms have changed slightly as a result of the rising repo rate, there will still be a high demand for property. Because of this, the rise in LIC HFL’s interest rates is appropriate given the status of the market “The CEO and MD, Y. Viswanatha Gowd, said.