State-run lenders Bank of Baroda and Bank of India have reduced their benchmark lending rates i.e. marginal cost of funds based lending rates (MCLR) across various tenors.
Bank of Baroda reduced 1-year MCLR by 5 bps to 8.25 percent while overnight and one month MCLR is reduced by 20 bps to 7.65 percent.
There is also a 10 bps reduction in three months and six months MCLR to 7.80 percent and 8.10 percent, respectively.
The new rate will be effective from December 12, the bank said.
Bank of India also reduced its overnight MCLR by 20 bps while for other tenors the cut is 10 basis points, a bank statement said, adding the overnight rates will stand at 7.75 percent.
These revised MCLR would be applicable to the customers of the Bank w.e.f. December 10.
The new one-year MCLR is fixed at 8.20 percent as against 8.30 percent.