State-owned Union Bank of India has announced reduction in its marginal cost of funds-based lending rate – MCLR by 20 basis points across tenors. The new rates will be applicable from today. The revised one-year MCLR stands at 7.40 percent as against 7.60 percent earlier.
The three-month and six-month MCLRs have been cut to 7.10 percent and 7.25 percent, respectively. This is the thirteenth consecutive rate cut by the lender since July last year. Another public sector lender Bank of Baroda has reduced its MCLR by five basis points across tenors from 12th July.
The country’s largest lender State Bank of India has also reduced its MCLR by 5-10 basis points for shorter tenors. Besides, Indian Overseas Bank has cut its MCLR by up to 25 bps across tenors while Canara Bank and Bank of Maharashtra have also reduced their MCLRs by 10 bps and 20 bps, respectively, across all tenors.