Categories: Banking

State Bank of India – Current Loan Against Securities Interest Rates

State Bank of India has decreased its loan against securities interest rates by 0.05%, or 05 basis points with effect from Monday, February 10, 2020. This interest rate cut will reduce the cost for those people who want to avail SBI loan against mortgage of their securities.

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State Bank of India – Current Interest Rates for Loan Against Mortgage of Securities

New Delhi (Delhi, India), February 07, 2020

State Bank of India Cuts Loan Against Securities Interest Rate to 10.35% Per Annum

The State Bank of India (SBI) has decreased its loan against securities interest rates by 0.05 percent, or 05 basis points with effect from Monday, February 10, 2020.

State Bank of India has revised its minimum interest rate for loan against securities from 10.40 percent to 10.35 percent per annum (MCLR-1Year + 2.50%) for the SBI loan against mortgage of equity shares.

State Bank of India’s current interest rate cut will reduce the cost of funds for those people who want to avail loan against mortgage of their securities.

State Bank of India’s loan against securities interest rate is based on fixed rate of interest with reset period of 1 year and the interest amount is computed on a monthly reducing method.

The loan against mortgage of securities interest rate of State Bank of India is benchmarked or linked to its One-Year MCLR (Marginal Cost of Funds based Lending Rate). State Bank of India’s current One-Year MCLR, which is called MCLR-1Y, is 7.85 percent per annum with effect from Monday, February 10, 2020.

The minimum borrowing amount for State Bank of India’s loan against mortgage of securities is ₹50,000 and maximum loan against securities amount is ₹2,000,000. The maximum quantum of State Bank of India’s loan against mortgage of securities is up to 50% of the market value of the securities.

State Bank of India’s loan against mortgage of securities processing fee is 0.75% of the loan against securities amount approved. The minimum processing fee for State Bank of India’s loan against mortgage of securities is ₹1,000 exclusive of applicable GST.

State Bank of India’s documentation charges for loan against mortgage of securities is ₹200 plus applicable GST.

The minimum loan tenure for State Bank of India’s loan against mortgage of securities is 6 months, while maximum loan period for State Bank of India’s loan against securities is 72 months (reviewed and renewed annually).

A foreclosure or pre closure charge for State Bank of India’s loan against mortgage of securities is 2% of the principal outstanding plus GST amount. State Bank of India allows pre closure or foreclosure of the loan against securities only after 180 days from the date of loan disbursement.

State Bank of India’s part payment or prepayment penalty for loan against mortgage of securities is 2% of the part payment amount plus applicable GST. The minimum amount should be equal to one EMI and maximum amount should not be more than 25% of the balance principal in one year.

The minimum age limit for getting State Bank of India’s loan against mortgage of securities sanctioned is 21 years for salaried and self-employed applicants at the time of loan against securities commencement.

EMI late payment charge for State Bank of India’s loan against mortgage of securities is minimum 2% penal interest per year over and above the applicable interest rate on the EMI outstanding amount for the period of default.

For State Bank of India’s loan against mortgage of securities, no guarantor is required. However, for availing State Bank of India’s loan against securities, pledge of adequate value of securities and equity shares in dematerialised form from the approved scrip list is compulsory as loan security.

Securities Eligible for State Bank of India’s Loan Against Mortgage of Securities

– Approved List of Demat Equity Shares

– Approved List of Equity Mutual Fund Units

– Approved List of Debt Mutual Funds Units

– Approved List of Non Convertible Debentures

– Fixed Maturity Plans (FMP)

– Exchange Traded Funds (ETF)

– Life Insurance Policies

– Savings Bonds

– Kisan Vikas Patra (KVP)

– National Savings Certificate (NSC)

– Gold Deposit Certificates (GDC)

– NABARD’s Bhavishya Nirman Bonds

– RBI Relief Bonds

– Sovereign Gold Bonds

State Bank of India – Current Loan Against Mortgage of Securities Interest Rates

State Bank of India Loan Against Mortgage of Equity Shares Interest Rate:

10.35% Per Annum (MCLR-1Year + 2.50%)

State Bank of India Loan Against Mortgage of Mutual Funds and Dual Advantage Fund Interest Rate:

10.35% Per Annum (MCLR-1Year + 2.50%)

State Bank of India Loan Against Mortgage of NSC, KVP, RBI Relief Bonds Interest Rate:

12.50% Per Annum (MCLR-1Year + 4.65%)

State Bank of India Loan Against Mortgage of Equity Plus Scheme Interest Rate:

14.50% Per Annum (MCLR-1Year + 6.65%)

State Bank of India Loan Against Mortgage of Debentures Interest Rate:

14.50% Per Annum (MCLR-1Year + 6.65%)

State Bank of India Loan Against Mortgage of Sovereign Gold Bonds Interest Rate:

9.85% Per Annum (MCLR-1Year + 2.00%)

Current Deposits and Loans Interest Rates of State Bank of India

State Bank of India – Deposits and Loans Interest Rates