SBI or State Bank of India, the country largest lender, will reduce interest rate on home loans starting August 10, 2019. The bank said its marginal cost of funds-based lending rates (MCLR) will be slashed by 15 basis points or 0.15 percentage point across all tenors. MCLR is a benchmark rate through which banks lend money to home loans borrowers. When MCLR goes down, home loans become cheaper. With the latest cut in the MCLR, the effective reduction in home loan rates since April 10 is 35 basis points, according to SBI’s statement.
|Tenor||Existing MCLR (In %)||Revised MCLR (In %)|