New Delhi, Feb 7 (IANS): Bank of India has reduced MCLR by 10 bps for maturities upto 6 months.
The bank has reduced interest rates on housing loans, which will now be available from 8 per cent annually and vehicle loans will now be priced from 8.5 per cent from February 10, the bank said in a statement.
Earlier State Bank of India, the country's largest lender by assets, had announced a reduction in its benchmark lending rates across all tenors. The bank said its marginal cost of funds-based lending rate (MCLR) will be reduced by 5 basis points (0.5 percentage point), and the new rates will take effect on February 10.
The announcements from banks came a day after the RBI's monetary policy committee (MPC) kept repo rate unchanged at 5.15 percent. Repo rate is the interest rate at which the RBI lends money to commercial banks.