Government bank gave a shock with a gift, made the loan cheaper; But the interest rates on FD have been cut.
New Delhi. The country's largest lender State Bank of India (SBI) has reduced its lending rate by 25 basis points after the Reserve Bank of India's policy rate cut, making loans cheaper for existing and new borrowers. With the latest cut, SBI's External Benchmark Linked Rate (EBLR) will be reduced by 25 basis points to 7.90 per cent. This will make home loan cheaper. Along with making the loan cheaper, the bank has also reduced the interest rates on FD. SBI has reduced interest rates on various FDs.
Interest rate reduced on FD
India's largest bank SBI will cut term deposit rates (FD) with maturity from 2 years to less than 3 years by 5 basis points (bps), bringing the rates down from 6.45 per cent to 6.40 per cent, while the interest rates in other maturity buckets will remain unchanged. Additionally, SBI has reduced the interest rate of Amrit Vrishti, a special tenure scheme of "444 days". Has been reduced by 15 bps, due to which it has come down from 6.60% to 6.45%. Similarly, one-year maturity rates will be cheaper by 5 per cent to 8.75 per cent and 8.80 per cent respectively, it said.
New interest rates will be applicable from December 15
The new rates of SBI will be applicable from 15 December 2025. SBI has also reduced the Marginal Cost of Funds-Based Lending Rate (MCLR) by 5 bps across all categories. With this change, the one-year MCLR will be 8.70 per cent as against the existing 8.75 per cent. The External Benchmark Linked Rate (EBLR), which is automatically revised when the repo rate changes, has been reduced from 8.15 per cent to 7.90 per cent. All retail and MSME loans are priced on the basis of EBLR.
Also read- Gratuity Rules: Gratuity will not be given in 1 year, these people will have to complete 5 years only; read the rules carefully
Follow for every important news related to business, market updates and personal finance tips.