SBI To Cut Lending Rate By 25 Basis Points From June 10
The country's largest lender State Bank of India on Monday announced it will reduce marginal cost of fund based lending rate by 25 basis points across all tenors from Wednesday.
The one year MCLR has been revised to 7% from 7.25%, the bank said in a release.
This is the thirteenth consecutive reduction in the bank's MCLR.
The bank also announced to reduce its external benchmark linked lending rate as well as repo linked lending rate by 40 basis points from July 1.
While EBR has been reduced to 6.65% per annum from 7.05% per annum, RLLR reduced to 6.25% from 6.65%, it said.
"Consequently, EMIs on eligible home loan accounts linked to MCLR will get cheaper by nearly Rs 421 and those linked to EBR/RLLR will get cheaper by around Rs 660, for a 30 years loan of Rs 25 lakh," the bank said in the release.
The cut in EBR and RLLR by the bank comes after the Reserve Bank of India on May 22 had cut repo rate by 40 basis points to 4%.
Some of the banks like Punjab National Bank , Bank of India and UCO Bank have already slashed their lending rates linked to the repo rate and MCLR rates.
SBI has also reduced its base rate by 75 basis points, from 8.15% to 7.40%, effective June 10.