Union Bank hikes BPLR by 50 basis points

Union Bank of India has hiked the benchmark prime lending rate by 50 basis points to 15.5 per cent with effect from November 28, the bank said in an announcement on the Bombay Stock Exchange. This means a hike in interest rates on all loans linked to the BPLR. 

The bank's Base Rate remains unchanged at 10.75 per cent. According to an official from the bank, the hike is mainly to loans linked to the BPLR to the Base Rate. “Most of our loans have shifted to Base Rate and we want all our customers to move to the BPLR,'' he said. Union Bank also hiked the interest rates on NRE (rupee) term deposits by 100 basis points and on FCNR deposits by up to 25 basis points.