Bank of Maharashtra Cuts Interest Rates on Retail Loans by 25 bps
Bank of Maharashtra (BoM), a state-owned lender based in Pune, has announced a 25 basis point reduction in interest rates on retail loans, including home and car loans.
- This move aligns with the recent reduction in the repo rate by the Reserve Bank of India (RBI).
On February 7, after a five-year gap, the RBI reduced the repo rate by 25 basis points, bringing it down to 6.25%.
- As a result, BoM has lowered its home loan rate to 8.10%, marking it as one of the lowest in the industry.
- The car loan rate has also dropped to 8.45% per annum.
- Similarly, education loans and other loans tied to the Repo Linked Lending Rate (RLLR) have seen a 25 basis point reduction.
In addition to the rate cuts, BoM has waived processing fees on both home and car loans.
- This dual benefit of lower interest rates and waived fees demonstrates the bank’s commitment to offering attractive financing solutions for its customers.
- The goal is to help customers fulfill their dreams while making loans more accessible.
The Pune-based bank has also received approval from the RBI to set up an International Financial Services Centre (IFSC) Banking Unit at GIFT City.
- This will be BoM’s first international branch, and it will focus on offshore banking operations from India.
- The new unit will expand BoM’s international banking business and provide specialized banking services to its customers.
