HDFC, Canara Bank, StanChart and others cut lending rate

New Delhi: Country's largest mortgage lender HDFC and four other lenders, including Canara Bank and StanChart, cut their base rates by up to 0.25 percent, a move that will make home, auto and other loans cheaper.

The effective home loan rate for new customers will be 9.65 percent, while for women borrowers, it will be 9.60 percent, HDFC said in a statement.

The existing rate for new customers is 9.9 percent, whereas for women, it's 9.85 percent.

This reduction, effective Tuesday, will benefit all customers, it added.

The rate cut has been triggered by the Reserve Bank revising downwards its benchmark short-term lending (repo) rate by 0.50 percent in its fourth bi-monthly monetary policy review last week.

Canara Bank and Standard Chartered also lowered benchmark lending rates by 0.25 percent.

In a filing to BSE, Canara Bank said: "The Board of the bank has approved reduction in the base rate by 25 bps from 9.90 percent to 9.65 percent for loans/advances, effective October 7, 2015."

Standard Chartered, in a statement, announced the reduction of 0.25 percent in its base rate to 9.5 percent from the current level of 9.75 percent effective today.

Corporation Bank said it has revised the base rate for lending to 9.7 percent from 9.9 percent from October 8.

Infrastructure financier IIFCL also announced a downward revision in its benchmark rate by 0.20 percent. With this, IIFCL's benchmark rate has been revised to 9.7 percent from 9.9 percent earlier. This change in benchmark rate will be effective today.

State Bank of Mysore too has revised its base rate to 9.9 percent from 10 percent to be effective September 21.

Earlier, a host of other lenders, including SBI, ICICI Bank, Punjab National Bank, Bank of Baroda, Oriental Bank of Commerce and Axis Bank, had announced reduction in their base rates.