In a bid to offer relief to individual, small and medium borrowers in line with benefit of 75 bps repo rate reduction by the Reserve Bank of India, the Union Bank of India in its ALCO meeting slashed its External Benchmark Based lending rate (EBLR) to 7.20 percent. EBLR of 7.20 percent will be applicable to all floating rate personal or retail loans (housing, auto, etc.) and floating rate loans to Micro, Small and Medium Enterprises to the customers of Union Bank of India with effect from 01.04.2020 onwards.
The above reduction in rate will also be applicable to the customers of Andhra Bank and Corporation Bank which will become part of Union Bank of India w.e.f. 01.04.2020 after completion of the merger. Customers who have availed loans under External Benchmark based schemes of these two banks shall automatically get the benefit of reduction of interest rate w.e.f. 01.04.2020.