New Delhi, Jul 30 : State-owned Union Bank of India on Tuesday decided to reduce Marginal Cost of Funds-based Lending Rate (MCLR) upto 20 basis points across various tenors.
The new rate would come into effect from August 1, this year. The bank also decided to lower both overnight and one month MCLR to 8.10 per cent from 8.25 per cent and 8.30 per cent respectively. Three months and six months MCLR has been reduced by 10 bps to 8.25 per cent and 8.35 per cent. One-year MCLR will come down from 8.55 per cent to 8.50 per cent.
“As a result, interest rates on all loans linked to MCLR stand reduced upto 20 basis points with effect from 1 August 2019,” the bank said in a statement here.
This is the second rate cut by the bank since June 2019.
“Taking a cue from the latest measures announced by the Reserve Bank of India (RBI) and to support growth of the economy, we have reduced lending rates upto 20 bps across various tenors,” the bank added.