Tuesday, September 13 2005 17:49 Hrs (IST) - World Time -

Mumbai: Central Bank of India today (Sept 13, 2005) reduced interest rates on home loans by 50 basis points, ahead of the festival season.

In the fixed category, the interest rate for a duration of up to five years is now reduced to 8 per cent against the existing 8.5 per cent while the new rate for over five years and less than ten year loan period is reduced to 8.5 per cent. For ten years and above loan period, the new rate is nine per cent.

In the category of floating rates, the bank reduced the rate to 7.5 per cent for up to 5 years, 8 per cent for 5-10 year period term and 8.5 per cent for ten years and above.

The revised rates are applicable with effect from September 1, the bank said in a statement here.