Mumbai, Sept. 28: ICICI Bank today launched a home loan scheme that offers borrowers the benefit of a one per cent cashback on every equated monthly instalment (EMI) for the entire tenure of the loan.

The offer is for home loans with a minimum tenure of 15 years. It will also allow borrowers to select their preferred mode of cashback. Customers can, therefore, choose to use the cashback to prepay the principal outstanding of the loan or take credit in their ICICI Bank account.

Both residents as well as NRI borrowers are eligible to apply for the cashback home loan.

"Our new home loan offers a compelling benefit of one per cent cashback on every EMI to customers. We believe this proposition will propel customers to fulfil their aspirations of owning a home," Anup Bagchi, executive director of ICICI Bank, said today at the launch.

The cashback will start accruing from the first EMI. It will get credited after the completion of the 36th EMI (three years). Subsequently, it will get credited after every 12th EMI.

The new offer will also be available for other mortgage products, such as loan against property, lease-rental discounting and top-ups on existing mortgage loans.

However, the facility will not be available to those defaulting on their loans.

Shares of the bank today ended marginally lower at Rs 275.55 on the BSE

In August, Axis Bank had launched a home loan product that will waive 12 EMIs during the course of a loan. According to the bank, this can help the borrower save Rs 3.09 lakh on a Rs 30-lakh loan taken for 20 years.