Syndicate Bank cuts MCLR by five basis points for select maturities

Public sector lender Syndicate Bank on Saturday slashed the marginal cost based lending rate (MCLR) by 0.05 per cent for select maturities.

The Bengaluru-headquartered lender has cut the overnight, one-month and three-month MCLR by 0.05 per cent each to 7.95, 8 and 8.05 per cent.

The new MCLR rate will take effect from December 10, Syndicate Bank said in a statement on Saturday. 

The MCLR for six-month and one year lending have been kept unchanged at 8.25 per cent and 8.45 per cent.

The bank said that there was no change in base rate and BPLR (Benchmark Prime Lending Rate) at 9.5 and 13.85 per cent, respectively.

Banks review their MCLR rates on a monthly basis, which is relatively a new method of charging interest on advances.

Introduced in April 2016, the Reserve Bank in August said it is going to review MCLR on the contention that banks were passing on lesser repo rate revision benefits to consumers.