Kotak Bank’s New Offer on Home Loans

Kotak Mahindra Bank has introduced a new hybrid home loan scheme aimed at giving borrowers greater certainty over their home loan EMIs. Under the scheme, borrowers can lock in their interest rate for 39, 52 or 65 months, helping them manage their initial repayment burden more predictably. The bank said changes in the key repo rate during the lock-in period will not affect the applicable instalments.

According to the bank, the scheme could help borrowers save up to ₹3.46 lakh on a ₹1 crore home loan, based on recent interest-rate trends. Kotak Mahindra Bank’s home loan interest rates currently start at 7.6%. The scheme is designed to offer borrowers greater stability during the early years of their home loan.