Increased Home loan Rates.

ICICI Bank has increased home loan rates by 25 basis points from August 1. This is the fourth time it has raised home loan rates this year. This means that home buyers borrowing for 20 years now have to pay fixed interest rate of 11.25% (previous 11%) or a floating rate of 9.75% (previous 9.5%).

The bank denied it has raised the rate but its managers have been informed through e-mail of the raised rates. The letters informing customers will only be dispatched to customers by September end though the rates will be effective from August 1.

This hike is due to the Reserve Bank of India raising short term lending rates by a quarter percentage point.