Bank of Baroda (BOB) has cut MCLR on various tenors by up to 10 basis points (bps), effective Sunday.
The public sector bank has revised the marginal cost of funds-based lending rate (MCLR) with effect from July 7, 2019, it said in a regulatory filing.
The benchmark one-year MCLR has been cut by 10 bps to 8.60 per cent as against 8.70 per cent, earlier. The one-year tenor is the rate around which most of the consumer loans such as home, car and personal are set against.
The one-month and two-month MCLRs will attract new rate of 8.30 per cent and 8.40 per cent, respectively, down 5 bps each from the earlier rates.
While for overnight and six-month tenor, the MCLR will be down to 8.20 per cent and 8.55 per cent, respectively, a reduction of 10 bps each.
Earlier last month, other public sector banks (PSBs) such as Bank of Maharashtra , Oriental Bank of Commerce and Corporation Bank had announced to cut MCLR after the Reserve Bank of India (RBI) had announced its bi-monthly monetary policy review.
The State Bank of India (SBI) had cut the interest rate on cash credit and overdraft with a limit of above Rs 1 lakh with effect from July 1.