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Canara Bank Home Loan

PSU Bank

Canara Bank is a Bengaluru-headquartered PSU bank with one of the lowest home loan entry rates in India at 7.15%. It is a strong option for borrowers in southern India.

7.15%

Starting rate

10.00%

Max rate

0.50% of loan (₹1,500 – ₹10,000)

Processing fee

30 yrs

Max tenure

Rates as of 2026-04-16. RBI repo rate 5.25%. Best available new-customer rate across all tracked lenders: 7.15%.

Already have a Canara Bank home loan?

If your current Canara Bank rate is above 7.15%, you are paying more than what Canara Bank is offering new customers today. The gap could be anywhere from 50 to 285 basis points depending on when you took the loan and which benchmark it is on.

Check my overpayment Rate reset letter for Canara Bank

Products offered

Canara Home Loan
Canara Balance Transfer
Canara Plot Loan
Canara Home Improvement

Best for: Borrowers in southern India looking for the lowest PSU entry rate at 7.15%.

Strengths and weaknesses

+ Entry rate of 7.15% is tied for the lowest in our tracked set.

+ Processing fee is reasonable at 0.50% with a cap of ₹10,000.

+ Strong branch coverage in Karnataka, Tamil Nadu and Andhra Pradesh.

- Brand recognition outside southern India is lower than SBI or PNB.

- Digital application process requires a branch visit for most profiles.

Rate reset at Canara Bank

Canara Bank processes rate resets through the home loan branch. With the lowest entry rate in the PSU segment, the reset delta for existing borrowers is often one of the largest.

Get the rate reset letter template

Balance transfer friction

Low friction

Leaving Canara Bank for a balance transfer is straightforward. Foreclosure letters are issued within a reasonable timeline and no foreclosure fee applies on floating-rate loans (RBI 2012 circular).

Read the foreclosure charges guide

Canara Bank home loan at a glance

Lender type	PSU Bank
Headquarters	Bengaluru
Regulator	RBI
Floating rate range	7.15% to 10.00% (EBLR-linked)
Processing fee	0.50% of loan (₹1,500 – ₹10,000)
Max tenure	30 years
Max loan amount	No upper limit
Prepayment charge	Nil on floating rate
Balance transfer friction	low
Official website	canarabank.com

Data as of 2026-04-16. Rates are for salaried borrowers with CIBIL 750+. Verify with Canara Bank for profile-specific quotes.

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