Canara Bank Cuts Interest Rate: After increasing the repo rate by the Reserve Bank of India (RBI) recently, many government and non-government banks have announced an increase in the interest rate.
RBI (RBI Repo Rate Hike) has announced to increase the repo rate by 25 basis points on this Wednesday to control the inflation rate. After this the repo rate has increased from 6.25% to 6.5%. This is directly affecting the loans given by the banks to the customers.
Announcement of reduction instead of increasing interest
After the announcement of RBI, the interest rates of home loans, car loans and personal loans given to customers by government and private banks have been increased. But in the meantime, there is also a bank, which instead of increasing the interest rate has announced a reduction to please the customers. Yes, Canara Bank has reduced the loan interest rate by 0.15% despite the increase in the repo rate.
The reduction in rates will be applicable from February 12.
In the information sent by the bank to the stock market, it was told that it has reduced the loan rate (RLLR) linked to the repo rate. The rate cut will be applicable from February 12. After this deduction, the new RLLR will come down from 9.40 percent to 9.25 percent. Earlier, Punjab National Bank (PNB) and Bank of Baroda (BoB) have increased the interest on loans by up to 0.25 percent.
PNB has increased the Repo Rate Based Interest Rate (RLLR) by 0.25 percent from 8.75 percent to 9.0 percent. On the other hand, Bank of Baroda has also increased the Marginal Cost Based Interest Rate (MCLR) by 0.05 percent.
