Public sector lender Dena Bank has reduced the interest rates on retail loans in the education, car and personal loan segment.
The interest rate on education loans has been reduced by 2 per cent to 12 per cent (from 14 per cent), while in the car loan segment, the rates have been cut by 1-1.50 per cent to 11-12 per cent (fixed) from 12.5-13 per cent.
The interest on personal and consumer durables loans is reduced to 14 per cent (fixed). The interest on personal loans has been cut by 2 per cent (from 16 per cent), while the rate on consumer durables loan have been cut by 2.25 per cent (from 16.25 per cent).
The decision to lower rates comes after the Finance Minister P. Chidambaram, with a view to revive demand in the flagging consumer durables sector, has asked the public sector banks to ensure that loans for purchase of consumer durables are made cheaper and easier to access.