Interest calculations on the Super Saver account will be made on End of Day (EoD) drawing power set for your Super Saver account minus any additional funds parked in the account. This will lead to savings on the home loan equivalent to the funds parked.
You have availed of a loan of Rs. 100 Lacs and you have parked Rs. 2 lacs on an average in the Super Saver account.
The utilized drawing limit in this case will be Rs. 100 lacs minus Rs. 2 lacs i.e. Rs. 98 Lacs. Interest payable at the end of the repayment cycle will be calculated on Rs. 98 Lacs resulting in savings on interest payable on the loan.