SBI cuts MCLR rates by 15 bps; lunches new deposit scheme for senior citizens
08 May 2020
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State Bank of India (SBI), the country’s largest lender, has reduced its Marginal Cost of Funds based Lending Rate (MCLR) by 15 basis points across all tenors.
Accordingly, the one year MCLR will stand at 7.25 per cent, down from 7.40 per cent, effective 10 May.
Consequently, EMIs on eligible home loan accounts (linked to MCLR) will get cheaper by approx Rs 255 for a 30-year loan of Rs25 lakh, it said.
The lender has also cut interest rates on retail term deposit by 20 bps for tenors up to 3 years, effective 12 May, saying that there is adequate liquidity in the system as well as with the bank.
This is the twelfth consecutive reduction in bank’s MCLR, the lender said.
However, keeping the interests of senior citizens, SBI has introduced a new product ‘SBI Wecare Deposit’ for Senior Citizens in the Retail Term Deposit segment. Under this new product, senior citizens will get an additional 30 bps premium on term deposits with 5 years and above tenor. This scheme would be in effect ill 30 September 2020, the lender said.
Under this new product, an additional 30 basis points premium will be payable for senior citizen’s retail term deposits with “5 years and above” tenor only, it said. This scheme would be in effect up to 30 September, it said.
The bank also decided to extend the RBI-approved moratorium to the cash-strapped NBFC sector to help them tide over the crisis, SBI managing director Dinesh Kumar Khara said.
