State-owned Indian Bank on Wednesday said it has reduced Marginal Cost of Funds Based Lending Rate for one year maturity by 5 basis points to 9%.
The new rate will be effective from July 3, Indian Bank said in a statement.
The one-year MCLR is the benchmark against which most customer loans such as auto, personal and home loans are priced.
Reinforcing its commitment to affordable credit, the bank has announced a reduction of 5 basis points in its one-year Marginal Cost of Funds Based Lending Rate (MCLR), bringing it down to 9 per cent, it said.
This reduction will directly benefit borrowers with a lower interest rate on loans, it said.
Besides, the Chennai-based bank has announced the complete waiver of minimum balance charges across all Savings Bank accounts, effective July 7, 2025.
This move is aimed at fostering financial inclusion and making banking more accessible and affordable for all sections of society, it said.
This decision is set to benefit a vast spectrum of Indian Bank account holders, ranging from students and senior citizens to small business owners and rural customers, it said.
The waiver is expected to encourage more individuals, especially those from underserved communities, to enter the formal banking system, it added.
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