State-owned Punjab National Bank on Wednesday announced cutting its benchmark lending rate by 5 basis points to 6.50 per cent.

The Repo Linked Lending Rate (RLLR) has been reduced from 6.55 per cent to 6.50 per cent with effect from November 8, PNB said in a regulatory filing.

As part of continued efforts to enhance customer service, PNB also launched a range of deals and offers on its retail loans this festive season.

With reduction in RLLR, all loans including home, car, education and personal loans would become cheaper. The bank had last cut its RLLR on September 17 from 6.80 per cent to 6.55 per cent.

With effect from November 8, 2021, the bank will provide one of the lowest interest rates on car loans at 6.65 per cent and further reduced home loan rates, which now start from 6.50 per cent, making its banking service more attractive than ever before, PNB said in a separate statement.

To promote the government’s efforts towards the adoption of electric/green vehicles, PNB has slashed the interest rate on e-vehicles and CNG vehicles to 6.65 per cent, while it starts from 6.75 per cent for other cars, it said. PTI