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SBI Home Loans

State Bank of India (or SBI) is India’s largest public sector bank, and a Fortune 500 company. It has now branched into various financial services, and is a government-owned corporation headquartered out of Mumbai. As of 2014-15, SBI had assets worth Rs. 20,480 billion and was ranked 232rd on the Fortune Global 500 list of the world’s biggest corporations as of 2016.

SBI traces its roots back to 1806, making it the oldest commercial bank in the Indian subcontinent. The State Bank of India as it is today has been in existence since 1956. As on date, it has a market share of over a whopping 20 percent in deposits and loans among Indian commercial banks.

Company brief

SBI offers a range of banking products and services through its extensive branch network, which includes products targeted at resident Indians as well as non-resident Indians (or NRIs).

In addition to its five associate banks, the SBI also operates in the non-banking sphere which includes credit cards, life and general insurance, funds management and capital markets among others.

What sets them apart?

What sets them apart from competition is the sheer reach that SBI offers, reaching out to potential home owners in semi-urban and rural areas in addition to metropolitan cities. Further, in keeping with the rapid technological development in the banking and financial services (BFSI) sector, the SBI has expanded its reach by offering services at the click of a button.

Geographic spread

SBI has a wide reach that is not spread only domestically but as well as in the overseas market. There are 14 regional hubs and over 57 zonal offices located in India. The number of bank branches has crossed 18,354 in India itself, and as of 2014-15, the Bank had 191 offices spread across 36 countries worldwide. It also operates several foreign subsidies or affiliates.

Product information

When it comes to home loans, SBI offers various products, and all of these product offerings can be categorised as under:

  • Home loans, which include options for new homes, resale (or pre-owned) homes, as well as construction of a house.
  • Loan for Earnest Money Deposit, which is to help individuals finance their requirements towards earnest money to book residential plots/ built-up hoing uses, properties being sold by government housing agencies an urban development authorities and housing boards. Further, this loan can be repaid through the proceeds of the housing loan availed of from SBI.
  • Takeover of home loans, which is a balance transfer facility to shift your existing home loan from scheduled commercial banks, or private and foreign banks and even housing finance companies (registered with the National Housing Bank) to SBI.
  • Tribal Plus Scheme, which is a special housing finance scheme for the hill/ tribal areas of North East India and areas around Chandigarh, Bhopal, Lucknow, Patna and Bhubaneswar.
  • Her Ghar, loans exclusively for women home owners, offered at a concessional interest rate
  • FlexiPay Home Loan Scheme, which is targeted at young working professionals to ease the financial burden by offering attractive repayment options.

In addition the SBI also caters to the NRI audience with a selection of housing loan product offerings.

Loan application process

In keeping with the tradition of employing the latest technological advances, you can apply for a housing loan both at a SBI branch and online as well. SBI also has digital branches known as SBI InTouch, which offer an instant loan facility for home loans, among other products and services.

Existing loan account holders can access their loan accounts online for ease of tracking and account maintenance.

Company financials

SBI has shown a year-on-year growth when it comes to home loan disbursals, with a steady increase in disbursement numbers, as indicated below:

Period Disbursement (Rs. Crore)
FY 2013 23,863
FY 2014 28,517
FY 2015 29,238
Additional information

Rewarding individuals for availing of a home loan, SBI has an attractive rewards programme called the State Bank Rewardz, which offers reward points as part of its Group Loyalty Programme. These points can then be redeemed upon accrual for various products and services, both offline as well as online.

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