HDFC follows SBI's suit and extends its teaser home loan scheme

Earlier HDFC Bank following the suit of State Bank of India (SBI) had reintroduced its teaser rate scheme and the last date was April 30. As SBI is getting good response for its teaser home loan scheme so it extended the up till June 30. Although HDFC did not said anything about the extension of the scheme but, now it has also extended its special home loan scheme till June 30.

Under this special scheme, HDFC will offer a fixed rate of 8.25% up to March 2011, 9% for the next one year and floating rate thereafter to all customers who avail at least part of the loan by June 30, an HDFC spokesperson told.

Earlier, when the Reserve Bank’s raised concern over such teaser schemes all banks, except SBI had stopped their teaser schemes or special home loan offers under which they offered loans at a cheaper rate to customers for a fixed period.
As HDFC has announced extension of the scheme it is believed more banks might also announce similar products to attract borrowers.