HNB announces reduced rates on personal finance products

In a continuing effort to partner its clients and support them to achieve their aspirations, Sri Lanka’s leading retail bank, HNB PLC, announced that it would be reducing interest rates on all of its core personal financial products – spanning leasing, housing and personal loans.

“Over the recent past we have witnessed significant demand for loans, particularly in the demographic of young professionals, many of who are seeking to buy a car, start a home, for professional studies or for any other investment activity, as these are important landmarks in our customers’ lives and we want to do our part to make them a reality. At HNB we are committed in supporting our clients to achieve their dreams, and serve as a true partner in their journey to greater prosperity. Hence, when we saw an opportunity to pass on the benefits of current macroeconomic conditions to our customers we decided to move quickly to ensure that all of our customers gain from current market dynamics,” HNB Personal Financial Services Head Viraj Mendis said.

The bank currently offers up to 70 percent of the total market value as a loan on registered vehicles and 50 percent of the market value on new vehicles. Following the rate cut, interest rates on Personal Financial Service products will start as low as from 13.25 percent for professional category, for housing purposes.

He added that Sri Lanka’s increasing affluence was also beginning to be demonstrated through increased demand for personal loans aimed at funding education and international travel, which the rate cut from HNB, is ideally timed to facilitate.

“At this time of the year, many foreign universities start to open up applications; hence we tend to receive even greater applications for education loans. Similarly, travel loans also tend to spike towards the end of the year, with travel companies often offering discounts for pre-booking targeting the first and second quarters of 2018,” Viraj Mendis explained.

He further noted that HNB will continue to offer these loans on fixed or floating rates, depending on the requirements and preference of each customer while further discounts and special rates would be rolled out to customers in the coming months as part of the bank’s festive season campaigns. Further discounts are also available to HNB’s Shanthi Housing Loyalty Cardholders from over 60+ selected merchants.