From correspondents in Maharashtra, India, 06:17 PM IST

Bank of Rajasthan, a technology driven private sector bank, has announced a revision in BPLR (Bench Mark Prime Lending Rate) as well as interest rates of Term Deposits (including NRO Deposits) with effect from July 01, 2008.

BPLR (Benchmark Prime Lending Rate)

Due to increase in CRR and Repo rate by RBI and hardening scenario of interest rate, BoR has increased the BPLR (Benchmark Prime Lending Rate) for the first time in last 15 months by 50 basis points, i.e. from 14.50% to 15.0% w.e.f 01.07.2008. Accordingly w.e.f. July 1, 2008, on all borrower accounts where interest rate is linked to BPLR, effective interest rate would go up by 0.50%.

With rise in BPLR, Interest rate structure of Real Estate Sector and Advance against Bank’s own TDRs has also been revised. Looking to high risk (high sensitivity) under Real Estate sector, spread over BPLR has been revised from 2% to 4%. Further due to rise in CRR cost, Interest rate structure of “Advance Against Bank’s Own TDRs” has also been revised. All these revisions are effective from July 1, 2008.

RPLR (Retail Prime Lending Rate) / Home Loan Rate

Considering the various economic factors like increase in CRR & Repo rates by RBI, the Bank has revised Retail Prime Lending Rate from existing 9.25% to 9.50% leading to revision in Interest rate by Bank of Rajasthan on floating rate Home Loan under “Apna Ghar Scheme” w.e.f. 01.07.2008. Further the bank has also revised cut-off limit of loans from Rs.20.00 lakhs to Rs.30 Lakhs for passing of benefit of lower interest rate.

Revised rate of interest on home loan

(w.e.f 01.07.2008)

*Please refer attached document for the table.

To benefit its more than 2 million trusted customers across the country Bank of Rajasthan has also revised its interest rate on term deposit effective from 1st July, 2008. By increasing this rate bank has proved that the bank is behind none in extending the benefits to its customers. The highest interest rate on Term Deposit is 9.50% p.a for 21 months.

Additional interest rate of 0.50% will be given to resident senior citizens.

Revised rate of interest on Domestic Term Deposits (Including NRO deposits) (effective from 01.07.2008)

(Rate of interest % p.a.)

Source: Press Release Distribution via India PRwire