Bank of India has announced a significant initiative, offering a complete waiver of processing charges on eligible home loans and four-wheeler loans. This special Bank of India loan waiver is available to customers until March 31, 2027, aiming to reduce the upfront costs associated with borrowing for major purchases.
Eligibility Criteria for Home & Car Loans
For most individual borrowers, eligibility for the 100% processing fee waiver hinges on maintaining a CIBIL personal score of 725 or above. This criterion applies to both housing and vehicle financing, encouraging responsible credit behavior among applicants.
Home Loan Specifics
The processing fee waiver covers a broad spectrum of home loan products. This includes:
- Regular home loans
- Home loan top-ups
- Smart Home Loans
- Star Diamond Home Loans
- Eligible home loan takeovers from other lenders (subject to Bank of India's criteria)
It's important to note that existing processing fee exemptions under schemes like PMAY 2.0 Urban, Affordable Housing Loans, and Star Samriddhi Home Loans will continue unaffected, as these already offer zero processing charges.
Car Loan Details
A similar benefit has been extended to customers financing new four-wheelers. Individual borrowers with a CIBIL personal score of 725 or higher qualify for the full waiver on applicable processing charges.
Furthermore, non-individual borrowers, such as businesses, can also avail this facility. They must meet specific external credit rating requirements, typically a BBB or above, or a CMR rating of 3 or better, according to the bank's internal guidelines.
Special Incentive for Electric Vehicles
In a move to promote green mobility, Bank of India has introduced a unique incentive for electric car buyers. Loans for purchasing electric four-wheelers will receive a complete waiver of processing charges, irrespective of the applicant's CIBIL personal score.
While the CIBIL score requirement is lifted for electric vehicle loans, applicants must still satisfy the bank's other standard loan eligibility criteria to secure financing.
This initiative by Bank of India underscores its commitment to making home and vehicle ownership more accessible by significantly cutting down initial borrowing expenses, particularly during the festive season and extending into the next financial years.