Largest private sector lender HDFC Bank has cut its lending rate by 0.20 per cent, amidst a gradual decline in cost of borrowing across the system.
The marginal cost of funds based lending rate (MCLR) has been reviewed across tenors since Tuesday, according to its website.
The revised overnight MCLR stands at 7.60 per cent, while the one-year MCLR, to which a host of loans are linked, has been reviewed to 7.95 per cent.
The three-year MCLR stands at 8.15 per cent from April 7 onwards, it said.
Rates across the banking system have been headed south for the last few months, as the RBI and the government work in tandem to push the sagging economic growth. The RBI last month cut the policy rate by 0.75 per cent to spur growth amid the COVID-19 crisis.