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State-owned Punjab National Bank (PNB) has cut marginal cost based lending rates by 0.05 per cent for select maturities to be effective from next month.
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Updated : May 30, 2017, 08:14 PM IST
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State-owned Punjab National Bank (PNB) has cut marginal cost based lending rates by 0.05 per cent for select maturities to be effective from next month.
"The bank has reduced marginal cost of funds based lending rate (MCLR) with effect from June 1, 2017," PNB said in a regulatory filing.
The bank has trimmed the MCLR by 0.05 per cent each for overnight, one-month and three-month maturities to 8 per cent, 8.10 per cent and 8.20 per cent respectively.
For maturities beyond 6 months to up to five years, there has been no change in MCLR.
Banks had adopted MCLR from April 2016 following RBI directive. However, a majority of them still follow the base rate or the minimum lending rate formula to charge interest on loans.
MCLR, which is changed every month, is a uniform methodology which was brought to ensure fair interest rates to borrowers as well as banks.
Stocks of PNB closed 0.86 per cent up at Rs 146.65 on BSE.
(This article has not been edited by DNA's editorial team and is auto-generated from an agency feed.)
