Union Bank Of India Cuts Home, Vehicle & Personal Loan Rates

New Delhi, Dec 23 (KNN) Union Bank of India has reduced interest rates on select retail loan products, including home, vehicle and personal loans, with effect fr0m 18 December 2025.

The move follows recent monetary easing and is aimed at improving affordability for retail borrowers.

Under the revised structure, home loan interest rates have been lowered by 30 basis points to start at 7.15 per cent per annum, compared to the earlier 7.45 per cent.

Vehicle loan rates have been reduced by 40 basis points to begin at 7.50 per cent per annum, down fr0m 7.90 per cent.

Personal loan rates have seen a sharper cut of 160 basis points, with rates now starting at 8.75 per cent per annum, compared to the earlier 10.35 per cent.

In addition, the bank is offering an extra interest rate concession of 0.10 per cent per annum on eligible green finance home loans and vehicle loans.

The rate revision comes amid easing monetary conditions. The Reserve Bank of India reduced the policy repo rate by 25 basis points to 5.25 per cent on December 5, 2025, marking the fourth rate cut during the year and taking the cumulative reduction in 2025 to 125 basis points.

According to the bank, the revised rates are intended to support homebuyers, vehicle purchasers and personal loan customers, while maintaining prudent lending standards.

The new rates are subject to borrower eligibility, credit profile and other applicable terms and conditions.

(KNN Bureau)