SBI cuts savings bank interest rate to 2.75% from April 15

State Bank of India cuts interest rate on all savings bank deposits to 2.75% from April 15

The country’s largest lender, State Bank of India has announced it will cut savings bank accounts interest rate by 25 bps to 2.75% with effect from April 15, a move affecting 44.51 crore saving account holders. In FY 2019-20, this is eleventh consecutive cut in MCLR by SBI.

According to the SBI press release, the one-year MCLR comes down to 7.40% per annum. Consequently, eligible home loan accounts EMIs will get cheaper.

The bank is also cutting its (MCLR) marginal cost of fund-based lending rate by 35 bps across all tenors from April 10. After the reduction in rates, savings accounts will earn 2.75% interest an annum.

Last week ,ICICI Bank, a leading private sector bank in India, cut savings account interest rate by 25 bps. After the cut savings account will earn 3.25 per cent a year with balance below Rs 50 lakh and an account with balance above Rs 50 lakh will earn 3.75 per cent.

SBI, State Bank of India had cut its external benchmark based lending rate by 75 basis points last month. SBI’s repo linked lending rate (RLLR) now stands revised to 6.65 percent, while it’s external benchmark linked lending rate stands at 7.05%.