(a)whethsr certain private sector banks are providing second housing loan on higher interest
rate;
(b)if so, whether the Government also proposes to raise the rates of interest on loan for
purchase of second house keeping in view the shortage of dwelling units in the country; and
(c) if so, the details thereof?
MINISTER OF STATE IN THE MINISTRY OF FINANCE ( SHRIPAWAN KUMAR BANSAL )
(a) : Reserve Bank of India (RBI) has stated that they have no information in this regard.
(b) & (c) : With effect from October 18, 1994, RBI has deregulated the interest rutes on
advances above Rs.2 lakh and the rates of interest on such advances are detemiined by the banks
themselves with the approval of their Boards and not by the RBI or the Government.