The country’s largest lender, State banks of Indian (SBI) an April 28 lowered interest rates on education loans by up to 250 basis points, for a limited period.
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Interest rates on education loans, which are linked to the bank’s prime lending rate, up to Rs 4 lakh will be reduced to 11.5 percent from 11.75 percent, while for the Rs 4laks to Rs 7.50 lakh loan brackets, the interest has been slashed to 11.25 percent from 13.25 percent. For loans above of Rs 7.5 lakh and above interest rate has been reduced by 1.25 percent, from 12.25 percent to 11 percent. Girl students will get a further concession of .50 percent in interest. The lowered rates would applicable for loans sanctioned during May September 2009.