State-owned Banks Offer Preferential Interest Rates of 5-7%
In a recent survey, preferential interest rates for home loans in May are hovering between 5–6% for the first 6–36 months of the loan term. After the preferential period, floating interest rates for existing borrowers at state-owned banks range from 9–10%, while private banks generally charge over 12%.
Consequently, interest rates on loans for production, business operations, consumer spending, and home purchases from state-owned banks like BIDV, Vietinbank, Vietcombank, and Agribank fall within the range of 5–7%, depending on the loan term.
Specifically, for BIDV in Hanoi and Ho Chi Minh City, the preferential interest rate is 5% for the first six months, with a minimum loan term of 36 months. For those opting for a preferential rate of 5.5% for the first 12 months, the minimum loan term is 60 months.
For other regions, the minimum fixed interest rate for home loans is 6% per annum, applicable for the first 24 months. Alternatively, home loans can be granted at a minimum of 7% per annum for the first 36 months.
BIDV’s aforementioned policies are effective from now until June 30, 2024. After the preferential period, the floating interest rate will be calculated using the base lending rate plus a margin of 3.7%. The prepayment penalty is 1% for the first two years and 0.5% for the following three years.
At VietinBank, short-term loan interest rates start at 5.2% per annum, while medium- and long-term loans are charged at 5.8% per annum for customers borrowing for production, business operations, or personal consumption.
Vietcombank offers preferential interest rates of 6% per annum for the first six months on home loans, auto loans, or consumer loans for short-term loans (under 12 months); or 6.3% per annum for the first six months on medium- to long-term loans. After the preferential period, the floating interest rate is around 9% per annum and is adjusted every three months.
Agribank, on the other hand, charges minimum interest rates of 4.0% per annum for loans up to three months, 4.5% per annum for loans over three to six months, 5.0% per annum for loans over six to 12 months, 6.0% per annum for loans over 12 months, and 6.5% per annum for loans over 24 months.
However, after the second year of the loan, Agribank’s interest rates will become floating, estimated to range between 8–9% per annum for this loan package.
Joint-stock Commercial Banks Offer Rates Between 5-6.5%
For joint-stock commercial banks, interest rates on loans vary between 5–6.5%, depending on the loan term.
BVBank offers interest rates as low as 5% per annum on loans for purchasing, constructing, or renovating homes. The margin after the preferential period is 2% per annum. The floating interest rate is between 9.5%-10% per annum.
VPBank applies a rate of 5.9% per annum for the first six months. After the preferential period, the floating interest rate is calculated using the reference rate plus a margin of 3% per annum. The floating interest rate ranges from 9.5% to 10% per annum.
Sacombank offers fixed interest rates of 6.5% per annum for six months, 7% per annum fixed for 12 months, and 8% per annum fixed for 24 months on loans for personal expenses (purchasing, constructing, or renovating real estate; purchasing automobiles; consumer spending). After the fixed period, interest rates will be adjusted every three months.
MSB charges 6.2% interest on short-term loans of five months, 6.8% on short-term loans of six months, 6.5% on medium- to long-term loans fixed for 12 months, and 8% on medium- to long-term loans fixed for 24 months.
TPBank offers various preferential packages for customers borrowing less than 65% of their total assets. These packages include an interest rate of 0% per annum for the first three months, followed by 9% per annum for the next nine months; a fixed-rate loan for 12 months with an interest rate of 7.5% per annum; a fixed-rate loan for 24 months with an interest rate of 8.6% per annum; and a fixed-rate loan for 36 months with an interest rate of 9.6% per annum. The bank’s floating interest rate is as high as 12–12.5% per annum.
ACB offers home loan interest rates ranging from 7–8% per annum or a fixed rate of 9% per annum for the first two years.
SeABank applies an interest rate of just 6.5% per annum, fixed for 12 months. After the preferential period, the interest rate becomes floating with a margin of 3.35% per annum, bringing the estimated floating interest rate to 10.5–11% per annum.
SHB offers special interest rates starting from 5.79% for medium- to long-term loans and 6.39% for short-term loans.
VIB provides customers with four fixed interest rate options starting at 5.9% per annum. After the preferential period, the loan interest rate will be calculated based on the bank’s cost of funds plus a margin of 2.8% per annum.
VIB offers four fixed interest rate options from 5.9% per annum. After the preferential period, the interest rate will be calculated using the bank’s cost of funds plus a margin of 2.8% per annum. After the preferential period, the floating interest rate for home loans currently applied by VIB is generally around 9-10% per annum.
