Indian Bank cuts MCLR by 0.30 percentage points

New Delhi: Indian Bank has slashed marginal cost of fund-based lending rate (MCLR) by 0.30 percentage points for various tenors.

Indian Bank has cut one year MCLR by 0.30 percentage points to 7.80 percent from 8.10 percent earlier, it said in a regulatory filing. The overnight and one month MCLR has been cut 0.30 percentage points to 7.50 percent and 7.55 percent respectively.

The three month MCLR has now been cut to 7.70 percent from 8 percent. The six month MCLR has been cut to 7.75 percent from 8.05 percent earlier.

The new rates will come into effect from 3 May, 2020. Quite a few banks and NBFCs have cut the interest rates in successive tranches in the last few weeks, making home and other loans cheaper.

The RBI has cut the benchmark Repo Rate by 0.75 percentage points to 4.40 percent in the bi-monthly Monetary Policy Committee meeting on 27 March 2020. There could be further cuts by the RBI in 2020.