Mumbai, Union Bank of India on Saturday announced reduction in External Benchmark Lending Rate (EBLR) by 40 bps to 6.80 per cent taking into consideration the recent change in Repo Rate by RBI.

The revised rates will be applicable from June 1, 2020. Effective rates for various schemes will be at EBLR+ Premium/Discount for the product.

Union Bank of India had introduced EBLR based lending rates for all new floating rate loans to Retail and Micro & Small Enterprises segment, in line with RBI guidelines.

So, from October 1, 2019, all new floating rate loans to these segments have been linked to RBI Policy Repo Rate. Medium Enterprises are also linked to RBI policy Rate with effect from April 1.