Banks reluctant to reduce lending rates
Bankers argue that unless their cost of funds declines, a reduction in loan rates would hurt their business
Reply to comment
ICICI is a blood sucking bank. They will offer good rates for the new loans. Once your loan is approved, then the rate will go to the maximum in market. They will also increase the rate along with RBI repo rates. But they never mind to reduce the rates for existing customers when the repo rates are decreased by RBI. I would suggest all the newcomers to AVOID ICICI. They might be very polite to process your loan at the best possible time and rate but it is a BIG TRAP. BE CAREFUL IF YOU ARE DEALING WITH ICICI BANK. Existing customers, please try to move your loan from ICICI. You need to spend 2% processing fee, but it is worth doing that. I see only that option for me. -Anoop
Anoop