Two PSU banks, Central Bank of India and Syndicate Bank, today announced a cut in their lending rates while two others reduced deposit rates after RBI lowered the policy rate by 0.25 per cent this week.
Central Bank of India (CBI) revised downward its base rate, or minimum lending rate, by 0.3 percentage point to 9.95 per cent. Syndicate Bank announced lowering its base rate by 0.25 per cent to 10 per cent.
Meanwhile, Bank of Baroda and Oriental Bank of Commerce reduced their interest rates for various term deposit schemes.
Bank of Baroda "has decided to revise rates of interest payable on term deposits of below Rs 1 crore and Rs 1 crore to Rs 10 crore, applicable to the renewal of existing deposits and fresh deposits, with effect from June 8, 2015", the lender said in a BSE filing.
BoB cut interest rates in select bracket for deposits below Rs 1 crore by 0.25 per cent.
For bulk deposits of Rs 1-10 crore, deposits maturing in one year will attract interest rate of 8.25 per cent, from 8.35 per cent earlier, it said.
OBC cut the interest rates on select maturities ranging from 270 days to up to 10 years for deposits below Rs 1 crore by 0.25-0.5 per cent.
These new interest rates will be applicable from June 8, 2015, OBC said in a filing to the exchange.
Since RBI's policy action, several banks including market leader State Bank of India have reduced the base rates.
