Mumbai: State-owned Union Bank of India on Friday announced a reduction in its marginal cost of fund-based lending (MCLR) with up to 15 basis points across all tenors, effective May 11. This is the eleventh consecutive rate cut announced by bank since July 2019, said a release.
The one-year MCLR has been downgraded by 5 basis points (bps) to 7.70 percent from 7.75 percent.
Overnight MCLR is reduced by 15 bps to 7.15 percent from 7.30 percent and one month MCLR by 10 bps to 7.25 percent.
The lender has reduced the three-month and six-month MCLR by 5 bps to 7.40 percent and 7.55 percent, respectively.
The audit in MCLR by the bank comes a day after the country’s largest lender State Bank of India (SBI) announced 15 bps reduction in MCLR across all tenors, effective May 10.
SBI’s one-year MCLR will be 7.25 percent from 7.40 percent earlier.