Biznextindia : Three commercial banks Canara Bank, Bank of Maharastra and DCB bank have decided to provide the benefits of the Repo Rate cut by RBI to the customers by reducing their interest rates.
Public sector Canara bank has reduced its Marginal Cost of Funds based Lending Rates (MCLR) upto 35 basis points (bps). While the bank’s overnight MCLR has been reduced by 15 basis points to 7.50%, Six-month MCLR has been reduced by 30 bps to 7.80% and one year MCLR reduced by 35 bps to 7.85%.
Repo Rate Linked Lending Rate (RLLR) of the bank for Retail Loans (Housing, Auto, Etc) & Micro, Small and Medium Enterprises (MSME) has been reduced by 75 bps to 7.30% from 8.05% earlier. The base rate has been fixed at 9.05%. These new lending rates will be effective from 7th of April.
Bank of Maharastra has also reduced its MCLR rates up to 25 bps. While the overnight MCLR has been cut by 10 bps to 7.50%, One month by 10 bps to 7.60%, Six-month MCLR cut by 10 bps to 7.90%, One-year MCLR by 25 bps to 8%. These new lending rates will be effective from 7th of April.
Meanwhile, Private sector DCB bank has also revised its MCLR with effect from 6th April. The bank has fixed overnight MCLR at 8.555, One Month MCLR at 8.55%, Three Months MCLR at 9.25%, Six Months MCLR at 9.75% and One Year MCLR at 10.15%.
The Reserve Bank of India on 27th of March had reduced Repo Rate by 75 bps to 4.4%.