The state-run government on Thursday said it has reduced its home loan rate by 25 basis points (bps) from 6.75 per cent to 6.50 per cent. The new rate will be available to customers till December 31, 2021, the lender said in a press release.

Rate will be offered to freshly applied customers Loanloan transfer, or looking refinance their existing loans.

“Our customers will get the benefit of this offer this festive season. With this low interest rate, Bank of Baroda home loans We are now offering the most competitive rates across all categories for a limited period up to December 31, 2021,” said HT Solanki, general manager (mortgage and other retail assets) of the bank.

The lender said zero processing fee on home loans was already on offer and has been extended till December 31, 2021.