Last Updated:July 06, 2025, 15:14 IST
Bank of Baroda cut home loan rates to 7.45 percent, following RBI’s repo rate cut. The move aims to boost loan demand and home ownership.
Bank of Baroda
Public lender Bank of Baroda has cut the home loan rate by 5 bps to 7.45 per cent from 7.50 per cent, boosting loan demand and making home ownership more affordable. This was the second home loan reduction by the lender following the RBI’s mega repo rate cut of 50 bps in May MPC meeting.
RBI had cut the repo rate by 50 bps to 5.50 per cent, but had changed the stance to ‘neutral’ from ‘accommodative’.
The offer is applicable to new borrowers, and specific terms and conditions can be found on the bank’s official website. The move reflects the lender’s commitment to passing on the benefits of lower policy rates to consumers.
“This latest reduction is aimed at supporting the aspirations of citizens and stimulating credit growth,” said Sanjay Mudaliar, Executive Director at Bank of Baroda.
Moreover, BoB also announced to remove the processing fees on home loans, boosting the demand.
Indian Bank Recently Cuts MCLR
Further reinforcing its commitment to affordable credit, the Bank has also announced a reduction of 5 basis points in its one-year Marginal Cost of Funds Based Lending Rate (MCLR), bringing it down to 9.00%, effective July 3, 2025. This reduction will directly benefit borrowers with lower interest rate on loan.
Several Banks Remove MAB Charges
Punjab National Bank (PNB) earlier announced the removal of penalty charges for not maintaining the minimum average balance (MAB) in all savings accounts from July 01, 2025. PNB was the second PSU lender after Canara Bank to remove penalty charges for not maintaining the minimum average balance (MAB) in all savings accounts. Indian Bank also announced to waive off the minimum balance penalty for savings accounts.
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst…Read More
Varun Yadav is a Sub Editor at News18 Business Digital. He writes articles on markets, personal finance, technology, and more. He completed his post-graduation diploma in English Journalism from the Indian Inst… Read More
- First Published:
#Bank #Baroda #Cuts #Home #Loan #Rate #Waives #Processing #Fee #Banking #Finance #News
