The biggest Bank of India State Bank of India has reduced the marginal cost of fund based lending rate (MCLR) by 5 basis points across all tenors, effective November 10, and has steeply reduced the deposits pricing between 15 and 75 basis points.
This is the seventh time when the bank has reduced the rates.
The bank said to media that this reduction will bring down the one year MCLR to 8 Per cent.
SBI also revised the rates of its term deposits on account of adequate liquidity in the system. From 10th November, new deposit rates would come to effect.
SBI has lowered down the interest rate of retail term deposits by 15 basis points for one year to less than two years’ tenor.
Also the bulk deposit interest rates have been reduced by 30 to 75 bps across tenors, as per Bank.