Union Bank of India: Cuts Housing Loan Rates

Public sector Union Bank of India (UBI) on recently  announced a cut in its interest rate on loans for housing from April, 2012.

Mr. M.V. Nair,CMD, Union Bank of India said, “Our net interest margin is around 3.3% and we plan to reduce interest rates on some products such as housing loans so as to pass on the benefit to our customers. There was no immediate plan to reduce base rate until a clear policy signal from the RBI (Reserve Bank of India).

Mr. M.V. Nair,said, ''The policy stance regarding easing of interest rates would depend upon four main factors like inflation, oil prices, depreciation of the Indian rupee and government borrowing"
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