After the banking regulator Reserve Bank of India cut the repo rates, the government banks of the country have started cutting interest rates. Now the news that has come is that the Bank of Maharashtra has decided to cut the interest rates of its loans. After this cut, the customers of the bank will get a lot of relief. RBI had cut the repo rates after about 5 years. If experts are to be believed, RBI can cut the repo rate in the coming days. Let us also tell you how much the Bank of Maharashtra has cut the interest rates.

Home loans made cheaper

Government lender Bank of Maharashtra (BOM) has cut the interest rate on its retail loans including home and car loans by 0.25 percent. BOM has taken this step after the Reserve Bank of India (RBI) cut the repo rate. After a gap of five years, RBI reduced the repo rate by 0.25 percent to 6.25 percent on February 7. At this rate, banks take loans from the central bank. BoM said in a statement on Sunday that after this reduction, its benchmark rate for home loans has come down to 8.10 percent, which is among the lowest in the banking industry.

Processing fee waived

With this, the interest rate on car loans has come down to 8.45 percent. Similarly, education loans and repo-linked lending rates (RLLR) have come down by a quarter percent. The bank has already waived processing fees on home and car loans, it said. Waiver of processing fees along with low interest rates is giving double the profit to the customers. If experts are to be believed, soon common people will get more benefits.

Launch of international banking

Meanwhile, the Pune-based lender has received approval from the Reserve Bank of India to set up an International Financial Services Center (IFSC) banking unit in GIFT City. This branch will act as BoM's first international branch to carry out offshore banking operations from India. This will help in expanding the international banking business and will also enable the bank to provide special banking services to its customers.

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