New Delhi, Mar 27 (UNI) Allahabad Bank, one of the leading nationalised banks of the country, today said it will cut its Benchmark Prime Lending Rate (BPLR) by 25 basis points from the present rate of 13.25 per cent to 13 per cent with effect from April 1, 2008.
The reduction in BPLR has been announced having regard to present market scenario and the need to provide credit to productive sectors at affordable rate, said a statement.
Due to the above change in the BPLR, all the existing interest rates linked to BPLR, applicable on all existing and future working capital and term loans, will stand reduced by 25 basis points with effect from April 1, 2008.
The Bank has already announced a cut in the interest rate of fresh Housing Loans by 25 basis points in both floating and fixed term loans with effect from April 1, 2008 for loans up to Rs 20 lakhs on all maturities.
With the present cut in BPLR, in actual terms, interest on Housing Loan up to Rs 20 lakhs in floating term loan will stand reduced by 50 basis points for all fresh sanction from April 1, 2008.
UNI PBB SR DS1542