Buying your own home is considered a big achievement in today’s times. Due to rising property prices, it has become difficult for most people to buy a house without a home loan. In such a situation, it is very important to choose the right bank and a low interest rate. Let’s compare the home loans of the two major government banks of the country – SBI and PNB – and know whose EMI will be more beneficial on a loan of 25 lakhs.
Interest Rate Comparison:
SBI Home Loan: The interest rate starts from 7.50% per annum (may change depending on CIBIL score and loan amount).
PNB Home Loan: Interest rate starts from 8.25% per annum (may change depending on CIBIL score and loan amount).
EMI calculation for a loan of Rs 25 lakh (for a tenure of 20 years):
1. SBI Home Loan:
Interest rate: 7.50% p.a.
EMI per month: ₹20,140
Total repayment in 20 years: ₹48,33,559
Total interest: ₹23,33,559
2. PNB Home Loan:
Interest rate: 8.25% p.a.
EMI per month: ₹21,302
Total repayment in 20 years: ₹51,12,394
Total interest: ₹26,12,394
Comparison conclusion:
EMI difference: SBI EMI is ₹1,162 less per month than PNB.
Interest difference: You will pay ₹2,78,835 less interest on SBI.
Recommendation: SBI home loan is more beneficial than PNB as it has lower interest rates and lower EMIs.
Things to keep in mind before taking a loan:
CIBIL Score: A good CIBIL score (750+) helps in getting a lower interest rate.
Processing Fee: Banks charge processing fees; compare them.
Additional Charges: Enquire about other loan-related expenses.
Loan Tenure: The longer the tenure, the higher the interest. Try to repay the loan early.
People Also Ask (Google Search FAQs):
1. What is the interest rate of an SBI home loan?
The interest rate of SBI home loans starts at 7.50% per annum.
2. What is the EMI on a PNB home loan?
The PNB EMI for a loan of ₹25 lakh over a tenure of 20 years comes to ₹21,302 per month.
3. How to get a home loan at a low interest rate?
Maintain a good CIBIL score and compare offers from different banks.
4. What is the tenure of a home loan?
The tenure of a home loan can usually range from 5 to 30 years.
5. Which home loan is better between SBI and PNB?
SBI home loan is better in terms of interest rate and EMI than PNB. Disclaimer: This information is for educational purposes only. Before taking a loan, confirm all the terms and conditions with the bank and consult your financial advisor.
vipin kumar
Vipin Kumar is An experienced journalist with 8 years in the media industry, having worked with prominent news platforms including Dainik Jagran and News24. Currently serving at Timesbull.com for almost four years, dedicated to delivering truthful, transparent, and people-centric news that informs and empowers readers. Committed to transparent, ethical, and...
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