Bank of Maharashtra slashes retail loan rates by 25 bps after RBI cuts repo rate

In accordance with the Reserve Bank's key policy rate, the state-owned Bank of Maharashtra (BoM) has announced a 25-basis point drop in the lending rate tied to the repo rate. BoM stated in a statement on Monday that the bank's repo-linked lending rate (RLLR) has now dropped from 9.05 percent to 8.80 percent.

In an effort to boost economy in the face of the possibility of reciprocal tariffs from the US, the Reserve Bank of India (RBI) cut key interest rates by 25 basis points on Wednesday for the second consecutive time. It said that the lower interest rates will improve its clients' financial security and make loans more accessible.

Customers obtaining home, auto, education, gold, and any other retail loan products would benefit from this reduction, the bank stated, since all of its retail loans are connected to the RLLR. The bank stated that its home loan rates would begin at 7.85 percent annually and that its auto loans would start at 8.20 percent annually, which are among the lowest rates in the banking sector.