Mumbai: To stop any kind of rate war erupting amongst the banks leading to rising NPA levels, the Finance Ministry is planning to ask all the public sector banks not to launch teaser schemes in near future. Recently HDFC and ICICI bank relaunched their teaser loan schemes following SBI which was the only bank to have continued with the teaser loans after their normal tenor ended on March 31, 2010. The government is all set to bar public sector banks from launching teaser loans after July 1 when the base rate is going to come into play. Talking to Rupee Times, a Finance Ministry official said, "There could be unviable lending without keeping in mind the borrower's repayment capacity. Some of the schemes under teaser rates have been hugely popular and prompt customers to switch over. Other banks may be forced to come up with similar schemes." Once the base rate system comes into play, the banks will have to stop this strategy as base rate system is said to be a more transparent mechanism of loan pricing than BPLR. Earlier RBI had raised questions over teaser loans.