ICICI Bank has recently launched "Utsav Scheme" of Home Loans under which it is offering home loan @4.99%-7.25% floating rate for fresh home loan seekers.

Whereas for its existing customers of Home loan, ICICI Bank has increased the floating rate (FRR) twice in the last couple of months and their appliocable rate is now 8% or more depending on what margin was offered to them.

This is a clear case of Unfair trade practice and malpratice followed by ICICI Bank (probably by other banks as well) as to attract customers a low rate is offered and subsequently after a couple of weeks / months the floating/fixed rate is increased such that the person pays a higher rate and new customers at the same time are offered a low rate.

It is indeed painful to see that you are paying at higher rate whereas another person may be with worse profile/credit rating is being offered loan at lower rate.

This implies that ICICI Bank knows how to trap people in its malicious net of malpractice and is not bothered about customer satisfaction in mediume to long run.