Money & Banking

Union Bank of India cuts MCLR by 10 bps across all tenors

Our Bureau Mumbai | Updated on January 11, 2020 Published on January 11, 2020

Union Bank of India has cut its marginal cost of funds-based lending rate (MCLR) by 10 basis points (bps) across all tenors with effect from January 11, 2020.

Following the cut, the benchmark one-year MCLR now stands at 8.10 per cent, down from 8.20 per cent earlier.

“This is the seventh consecutive rate cut announced by Union Bank of India, since July 2019. Thus, the cumulative rate cut is in the range of 60 bps - 75 bps across different tenors, since February 2019,” the public sector bank said in a statement. One basis point equals one hundredth of a percentage point.

All rupee loans sanctioned and credit limits renewed by banks with effect from April 1, 2016 are priced with reference to the MCLR, which is the internal benchmark for such purposes.

Published on January 11, 2020
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