Q:Is it better to take a home loan from Public Sector Banks or even Private Banks are good? Please let me know the advantages of both. I am looking at a home loan on 50 lac.
Latest Answer: Over the last 2 years there has not been much of a difference between a public sector and a private sector when it come to a Housing Loan. One of the main complaints against private banks has been that it is more expensive but currently the Rate of Interest at both Public and Private banks are the same. ( Except for SBI which is 0.10% cheaper)
When it comes to ease and speed of processing Private banks are much better and also they have a much better customer support unit which may be lacking in most public sectors banks as of now.
The RBI has also made it clear that the banks cannot charge any foreclosure or pre-closure charges which has ensured that there are no hidden charges which can be passed on to the customer.
I would definitely suggest a HDFC or a ICICI bank to address your home loan requirement today than a Public sector bank taking into consideration that the rates being the same I am getting a much better service and facilities.
