These banks have slashed lending rate after RBIs repo rate cut; check list

India’s largest lender SBI, state-owned Bank of Baroda and Bank of Maharashtra are among the many banks that have slashed their lending rates following the Reserve Bank of India’s repo rate cut.

The following banks have cut their interest rates, making loans cheaper for customers. The Reserve Bank reduced the repo rate to increase lending and investment to spur economic growth.

State Bank of India

India’s largest bank, the State Bank of India (SBI), reduced its lending rate by 25 basis points on April 14.

SBI’s Repo Linked Lending Rate (RLLR) was reduced by 25 basis points to 8.25% from the previous 8.50%, effective Tuesday, April 15.

Furthermore, the PSU also reduced the External Benchmark Based Lending Rate (EBLR) to 8.65%, down 25 basis points from 8.90% earlier.

Bank of India

Bank of India on April 9 slashed its Repo Based Lending Rate (RBLR) by 25 basis points to 8.85% from the previous 9.10%.

This adjustment was effective from Wednesday, April 9, onwards.

UCO Bank

UCO Bank adjusted its repo-linked interest rate from the previous 9.10%, down 25 basis points, to 8.80%, effective Thursday, April 10.

Punjab National Bank (PNB)

PSU Punjab National Bank (PNB) revised its RBLF to 8.85%, down 25 basis points from 9.10% formerly.

The change was operative from April 10, a day after the RBI announced its repo rate cut.

Indian Bank

Chennai-based Indian Bank lowered its RLLR from 9.05%, down 35 basis points, to 8.70%. The change was made effective from Friday, April 11, onwards.

Bank of Baroda

Bank of Baroda (BoB) on April 10 announced the reduction of its external benchmark-linked lending rates for loans catering to the retail and MSME segments by 25 bps.

This rate cut “ensures that customers benefit quickly from the RBI’s monetary policy move,” BoB said.

Indian Overseas Bank

In a meeting held on April 11, the Indian Overseas Bank’s Asset Liability Management Committee passed the resolution to reduce RLLR by 25 bps to 8.85% from 9.10%.

This change came into effect the next day, on Sunday, April 12.

Bank of Maharashtra

State-owned Bank of Maharashtra (BoM) on Thursday, April 10, slashed RLLR down by 25 basis points to 8.80% from the former 9.05%.

The reduction in RLLR would benefit customers availing home, car, education, gold and all other retail loans. This is because all retail loans offered by Bank of Maharashtra are linked to RLLR.

The home loan offered by the bank would start from 7.85% per annum, while car loans would be priced from 8.20% per annum, it stated.

On April 9, the RBI’s monetary policy committee (MPC), in its 54th meeting, cut the repo rate by 25 basis points to 6% from 6.25%. The apex bank switched its stance from “neutral” to “accommodative”.