Major banks cut lending rates: After RBI trims repo rate, SBI, PNB, Canara Bank, and IOB lower borrowing costs

Core Viewpoint - Several major banks in India have reduced their Repo Linked Lending Rates (RLLR) following a 25 basis point cut in the RBI's repo rate, leading to potential lower EMIs for borrowers [1][6]. Group 1: Canara Bank - Canara Bank has cut its RLLR by 25 basis points from 8.25% to 8%, effective December 12, 2025 [1]. - Existing borrowers will see a reduction in their EMIs or loan tenure based on their loan agreements [1]. Group 2: Punjab National Bank - Punjab National Bank has reduced its RLLR from 8.35% to 8.10%, effective December 6, 2025, including a bank spread of 10 basis points [1]. Group 3: Indian Overseas Bank - Indian Overseas Bank has revised its RLLR to 8.10%, effective December 15, 2025, with a one-year MCLR at 8.80% and a three-year MCLR at 8.85% [2]. Group 4: State Bank of India - State Bank of India has reduced its EBLR from 8.15% plus Credit Risk Premium (CRP) to 7.90% plus CRP, and its RLLR from 7.75% plus CRP to 7.50% plus CRP, effective December 15, 2025 [3]. - The final interest rate will depend on individual risk profiles and applicable spreads, but the cuts are expected to lower EMIs for eligible customers [3]. Group 5: Bank of Baroda - Bank of Baroda's effective BRLLR will decrease from 8.15% to 7.90%, effective December 6, 2025, providing slight relief to borrowers [4]. Group 6: Indian Bank - Indian Bank has reduced its RLLR from 8.20% to 7.95%, effective December 6, 2025 [5]. Group 7: Bank of India - Bank of India has cut its Repo Based Lending Rate (RBLR) from 8.35% to 8.10%, effective December 5, 2025, in response to the RBI's repo rate cut [6]. Group 8: Bank of Maharashtra - Bank of Maharashtra has reduced its home loan rates from 7.35% to 7.10% and car loan rates from 7.70% to 7.45%, waiving all processing fees on these loans [6].