SBI New Deposit Rates | SBI Revised Interest Rates April 2020 | SBI New MCLR April 2020 | SBI Cut Interest Rates
State Bank of India has cut its savings bank (SB) deposit rate by 25 basis points (bps) from 3 per cent to 2.75 per cent. Simultaneously, India’s largest bank has also reduced its marginal cost of funds based lending rate (MCLR) by 35 bps across all tenors. These rate cuts come as the banking system is awash with liquidity and the appetite for credit is lacklustre.
One basis point is equal to 1/100th of 1% and is used to denote the percentage change in a financial instrument.
SBI Revised Bank Deposit Rate | Latest Interest Rates on Saving Deposit
The SB rate cut will be effective from April 19, 2020
| Saving Bank Deposit Slab | Existing Rate of Interest | Revised Interest Rate w.e.f 19-04-2020 |
| SB Deposit Accounts with balances up to Rs. 1 Lakh | 3.00% p.a | 2.75% p.a |
| SB Deposit accounts with balances above Rs. 1 Lakh |
i) 3.00% p.a for balance up to Rs. 1 Lakh
ii) 3.00% p.a for balance above Rs. 1 Lakh
Rate continued at 3.00% p.a (2.75% below RBI’s Repo Rate, with a minimum of 3.00%) for balance above Rs. 1 Lakh |
i) 2.75% p.a for balance up to Rs. 1 Lakh
ii) 2.75% p.a for balance above Rs. 1 Lakh
Rate continued at 2.75% p.a (2.75% below RBI’s repo rate, with a minimum of 2.75%) for balance above Rs. 1 Lakh |
SBI Marginal Cost of Funds Based Lending Rate (MCLR) w.e.f 10-04-2020
The MCLR cut will be effective from 10, 2020.
| Tenor | Existing MCLR (%) | Revised MCLR (%) |
| Over night | 7.45 | 7.10 |
| One month | 7.45 | 7.10 |
| Three month | 7.50 | 7.15 |
| Six month | 7.70 | 7.35 |
| One year | 7.75 | 7.40 |
| Two years | 7.95 | 7.60 |
| Three years | 8.05 | 7.70 |
The bank, in a statement, said one year MCLR will come down to 7.40 per cent from 7.75 per cent. In FY2020, the Bank has cut MCLR 10 times consecutively. The latest MCLR cut is the first one in FY2021 and the eleventh consecutive cut since FY2020.
Consequently, EMIs (equated monthly installments) on eligible home loan accounts (linked to MCLR) will get cheaper by around Rs. 24 per Rs 1 lakh on a 30 year loan.
