Good News! HDFC Bank cuts interest rates on loans by 20 bps, effective from today
The HDFC Bank has reduced the marginal cost of funds-based lending rates (MCLR) on loans across tenors by 20 basis points with immediate effect. Following the reduction, MCLRs of the bank will range from 7.10 per cent to 7.65 per cent.
The bank's overnight MCLR now stands reduced to 7.10 per cent and its one-month MCLR is 7.15 per cent. One-year MCLR will now be 7.45 per cent, while three-year MCLR stands at 7.65 per cent. Banks review MCLR every month. Last month the HDFC Bank had reduced MCLR across tenors by 5 bps.
Revised HDFC Bank MCLR rates:
| Tenor | Interest Rate |
| Overnight | 7.10% |
| 1 month | 7.15% |
| 3 month | 7.20% |
| 6 month | 7.30% |
| 1 year | 7.45% |
| 2 year | 7.55% |
| 3 year | 7.65% |
Earlier, State-run Canara Bank and Bank of Maharashtra on Monday announced a reduction in their marginal cost of funds based lending rates (MCLR) by 10 basis points and 20 basis points, respectively, across all tenors, effective July 7.
Canara Bank has cut its one-year MCLR to 7.55 per cent from 7.65 per cent earlier. Overnight and one-month lending rates have been cut by 10 basis points to 7.20 per cent each. While State Bank of India or SBI had cut its marginal cost of funds based lending rate or MCLR. SBI had reduced MCLR by 25 bps across all tenors, with effect from June 10, 2020.
