7th Pay Commission Latest News: There is good news for central employees. Before the DA hike, the central government has taken a big decision for the employees. This decision will directly benefit the employees. Let’s know the latest updates.
7th Pay Commission/HBA Interest Rates: Central employees have got great news. The government has made a big announcement for the central employees. The interest rate on the building advance (HBA) given to the employees (Central Govt Employee’s) for building a house i.e. home loan taken from the bank has been reduced from 7.9 percent to 7.1 percent. The government has also issued an office memorandum for this. The employees will get big benefits from this decision of the government.
Big relief to the employees!
Under this decision, the government has decided to increase the interest rate of 80 basis points on the advance given to the employees to repay the home loan taken from the bank for building a house, buying a house or flat for the period from April 1, 2022 to March 31, 2023. That is, it has been cut by 0.8 percent. That is, now the dream of the employees of their own house will become even easier. Employees can now avail this interest rate till March 31, 2023.
Know at what rate you will get advance?
The Ministry of Housing and Urban Affairs has issued an office memorandum and informed about the reduction in the interest rates of advance. After this announcement of the government, employees can now take advance at the rate of 7.1 percent per annum till March 31, 2023, which was earlier at 7.9 percent per annum. Under the decision of the government, employees can now build houses cheaply.
How much advance can I take?
Now the question is, how much advance can you take? Let us tell you that under this special facility given by the government, central employees can take advance in two ways i.e. up to 34 months or up to a maximum of Rs 25 lakh according to their basic salary. Also, out of the cost of the house or its ability to pay, whichever is less for the employees, that amount can be taken as advance.
Know what is HBA?
It is worth mentioning that the Central Government gives House Building Advance to its employees. In this, the employee can take advance to build a house on the plot taken in the name of himself or his wife. This scheme was started from 1 October 2020 and under this, till 31 March 2023, the central government gives house building advance to its employees at the rate of 7.1% interest.
