Indian Overseas Bank cuts MCLR by up to 10 bps

State-owned Indian Overseas Bank said it has reduced the MCLR across all tenors, except overnight and one month, with effect from Sunday.

The new MCLR rates come to effect from March 10, 2019, the bank said in a regulatory filing.

The one-year tenor marginal cost based lending rate (MCLR) has been brought down by 0.10% point to 8.70%, the bank said.

The one-year MCLR is the benchmark against which most of the consumer loans are priced by a lender.

Among others, two- and three-year MCLRs are reduced by 0.10% point each to 8.80% and 8.90%, respectively.

The six-month MCLR will be priced at 8.50% as against 8.60% earlier while for three-month tenor it has been cut to 8.45% from 8.50%.