Federal Bank offers lower loan EMIs at Rs. 710 on home loans for 30 years as compared to South Indian bank which offers a minimum EMI of Rs. 737 for the same tenure. The Federal Bank enjoys average customer ratings of 3.5/5.0 which makes it a better choice for home loans as compared to South Indian Bank.
How does Federal Bank compare with South Indian Bank?
It is important to perform a detailed comparison of product offerings of Federal Bank and South Indian Bank. Applicants must also go through specific loan terms and conditions to make an informed decision about the best offerings from each bank. Here are some points to note:
- Federal Bank offers home loans at 7.65%, lower than South Indian Bank’s interest rate at 8.05%.
- Home Loan charges such as processing fees are lower in the case of Federal Bank at 0.50% of the loan amount. In comparison, South Indian Bank charges 1.00% of the loan amount.
- Federal Bank has benchmarked its home loan rates to RLLR. The same goes for South Indian Bank.
- Federal Bank has an average customer rating of 3.5, while South Indian Bank has an average customer rating of 3. Thus, Federal Bank has a high customer service focus as compared to South Indian Bank combined with an easy loan application process and a quicker turnaround.
- Federal Bank offers an overdraft facility allowing borrowers to minimize their interest outflow by making interest payment only on the portion of the loan utilized. This makes it an ideal choice for self-employed and businessmen who have fluctuating fund requirements.
Federal Bank is considered better in certain financial product offerings as compared to South Indian Bank. However, customers or borrowers must ensure to do due diligence on specific products/services before making a selection.