After the Reserve Bank of India’s (RBI) recent repo rate cut of 35 basis points, a number of public-sector banks (PSBs) such as State Bank of India (SBI), Bank of India, Syndicate Bank, IDBI Bank, Allahabad Bank and Bank of Maharashtra have reduced their marginal cost of funds-based lending rates (MCLR) by 5-25 basis points. A couple of banks such as Syndicate Bank and Bank of Baroda have followed in SBI’s footsteps and announced repo-linked lending rate (RLLR)-based home loans.
Their deposit rates will also be linked to the repo rate. A reduction in MCLR is good news for ...
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