Outlook Money
During festive seasons, lenders often capitalise on the festive spirit by providing special home loan offers to attract customers.
1. Lower Interest Rates: During Diwali, lenders frequently give special discounts, ranging from 0.25 per cent to 0.5 per cent. Even a small drop rate can help save on EMIs.
Banks waive or lower the customary 0.5 per cent to one per cent processing cost during Diwali which is a significant benefit when borrowing large quantities.
One might see extended loan repayment periods, often up to 30 years, which can effectively reduce the monthly EMI burden.
Diwali is often promoted with added benefits like cashback of up to Rs 1 lakh, shopping vouchers, or inclusion in prize draws, which attract people.
There are a few lenders who offer special offers on home loans which can include waiver of the last 12 EMIs of the repayment tenure for those who maintain an impeccable repayment record.