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United Bank of India cuts MCLR by 5 basis points, effective Thursday

One-year marginal cost of funds-based lending rate (MCLR) has been reduced to 8.80 per cent from 8.85 per cent

Press Trust of India  |  New Delhi 

Union Bank of India
Union Bank of India

State-owned of India has reduced its MCLRs by 5 basis points across tenures, effective Thursday.

The bank's asset-liability management committee in its meeting on Tuesday revised tenure-based MCLRs of the to be effective from Thursday, it said in a regulatory filing.

One-year (MCLR) has been reduced to 8.80 per cent from 8.85 per cent.

The one-year MCLR is the benchmark against which most of the consumer lending, such as auto, personal and home loans, are priced.

Among others, the six-month and three-month MCLRs have been cut to 8.60 per cent and 8.50 per cent, respectively.

Likewise, the one-month and overnight MCLR rates are reduced by five basis points (bps) each, the said.

One basis point is equal to one-hundredth part of a percentage.

The review their MCLRs every month.

First Published: Wed, April 17 2019. 20:30 IST