LIC Housing Finance Rates, LIC Housing Finance PLR – Aug 2017
Last Updated 17th Aug 2017
LIC Housing Finance Rate – Current Rate, Past Trend
| PLR | 14.20% * | History |
LIC Housing Finance Interest Rates
| Home Loan Interest Rates | 8.50% * Floating | Detail |
| Fixed Deposit Interest Rates | 7.30% to 7.50% * | Detail |
- LIC Housing Finance decides its own PLR from time to time
- The RBI or NHB do not mandate or decide the PLR of any NBFC or HFC. Since NBFC’s typically have a higher cost of raising funds and higher cost of operations than those of banks, mostly they tend to offer loans at higher interest rates compared to banks
- Sometimes, NBFC’s may have different benchmark PLR’s by customer segment and by product. E.g., an NBFC may have one PLR for retail and another one for corporate
- When pricing a loan, LIC Housing Finance typically offers a discount to the PLR to arrive at its lending rate
LIC Housing Finance PLR Vs.RBI
- RBI/ NHB require each NBFC/ HFC to set their own PLR rate based on their cost of funds. So, LIC Housing Finance decides its own base rate from time to time based
- Note that the RBI/ NHB does not decide the PLR rate
Changes in PLR of LIC Housing Finance
- PLR rate can be revised by LIC Housing Finance periodically in line with changes in interest rates in the market
LIC Housing Finance home loan interest rate and PLR
- Every floating rate loan sanctioned by LIC Housing Finance is benchmarked to its PLR rate
- The applicable rate of interest on a floating rate loan will consist of two parts – the applicable PLR and a spread or margin (which is typically negative in case of NBFC’s and HFC’s)
- Your loan from LIC Housing Finance will be repriced periodically depending upon change in PLR. So, a home loan from LIC Housing Finance will be repriced every time the PLR of LIC Housing Finance changes. Say, you take a loan at PLR minus 6.75% spread when the PLR is 16.25%. This loan will initially be priced at 9.50%. Whenever LIC Housing Finance changes in PLR rate, the applicable rate of interest will change correspondingly.
Past trend of LIC Housing Finance PLR vs RBI Repo Rate
| Date | RBI Rates | Bank Rates |
|---|---|---|
| 02nd Aug 17 | 0.25% | |
| 04th Oct 16 | 0.25% | |
| 05th Apr 16 | 0.25% | |
| 10th Oct 15 | 14.20% 0.3% | |
| 29th Sep 15 | 0.5% | |
| 02nd Jun 15 | 0.25% | |
| 04th Mar 15 | 0.25% | |
| 15th Jan 15 | 0.25% | |
| 28th Jan 14 | 0.25% | |
| 29th Oct 13 | 0.25% | |
| 01st Oct 13 | 14.50% | |
| 20th Sep 13 | 0.25% | |
| 03rd May 13 | 0.25% | |
| 19th Mar 13 | 0.25% | |
| 29th Jan 13 | 0.25% | |
| 17th Apr 12 | 0.5% | |
| 25th Oct 11 | 0.25% | |
| 16th Sep 11 | 0.25% | |
| 26th Jul 11 | 0.5% | |
| 16th Jun 11 | 0.25% | |
| 03rd May 11 | 0.5% | |
| 17th Mar 11 | 0.25% | |
| 25th Jan 11 | 0.25% | |
| 02nd Nov 10 | 0.25% | |
| 16th Sep 10 | 0.25% | |
| 27th Jul 10 | 0.25% | |
| 02nd Jul 10 | 0.25% |
LIC Housing Finance PLR Vs. RBI Repo Rate Trend
About LIC Housing Finance
- LIC Housing Finance's registered office is located at Bombay Life Building, 2nd Floor, 45/47 Veer Nariman Road Mumbai, Maharashtra-400001.
- For the year ended 31st Mar 15, the bank reported Net Interest Income of Rs. 2,236 crs. and Standalone net profit of Rs. 1,386 crs. LIC Housing Finance reported total deposits of Rs. 33,720 crs and total advances of Rs. 108,361 crs.
- LIC Housing Finance's management is led by its CEO Ms. Sunita Sharma.
- Its current PLR is 14.20%, which was last revised on 10th Oct 15.
