Corporation Bank has launched repo rate linked lending rate for faster transmission of interest rate cut to borrowers. The bank will link all new floating rate loans to retail, personal segment and Micro & Small Enterprises (MSE) to Reserve Bank of India's policy repo rate. Earlier this month, the Reserve Bank of India (RBI) made it mandatory for banks to link their retail and MSME loans to external interest rate benchmarks effective October 01, 2019 for faster transmission of rate cut to borrowers. With bank launching this product, rates for home, car and personal loans will come down.
Corporation Bank is a Mangalore-based mid-sized public sector bank which was established in 1906.
