{"id":"f-e550251d2f-cd7d751f-c790-559b-9741-2672fb241357","title":"Indian Overseas Bank cuts overnight MCLR by 5 bps","description":"The one-month MCLR stands at 8.30%, three-month at 8.40%, six-month at 8.65%, and the one-year MCLR at 8.80%. The two-year MCLR is also unchanged at 8.80%, while the three-year MCLR continues at 8.85%.","timestamp":1768395315,"category":"business","headline":"Indian Overseas Bank cuts overnight MCLR by 5 bps","modifiedHeadline":"Indian Overseas Bank Reduces Overnight MCLR","subCategories":["scid_82c07a94"],"region":"IN","bundleMetaData":{"bundleId":"ece1ae3d-908e-48c7-9e53-a4aa910ee4db","bundleTitle":"Grow Your Money","cardData":null},"iabCategoryId":"66","fcSummary":"Indian Overseas Bank (IOB) has decreased its overnight marginal cost of funds-based lending rate (MCLR) by 5 bps to 7.95%, effective january 15, 2026. Other MCLR tenors remain unchanged. This decision follows an asset liability management committee meeting.","summary":"Indian Overseas Bank has reduced its overnight MCLR by 5 bps. Other tenures remain unchanged, providing some relief to borrowers.","ctaUrl":"https://trends.glance.com/newz/Economy/IN/en/cnbc-tv18/f-e550251d2f-cd7d751f-c790-559b-9741-2672fb241357","sourceUrl":"https://www.cnbctv18.com/market/indian-overseas-bank-cuts-overnight-mclr-by-5-bps-ws-l-19820008.htm","bannerImage":"https://g-mob.glance-cdn.com/public/fc/image/ur6pdtGOPO80.webp","content":"
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State-run lender Indian Overseas Bank (IOB) has reduced its overnight marginal cost of funds-based lending rate (MCLR) by 5 basis points to 7.95%, effective

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January 15, 2026. The decision was taken by the bank’s Asset Liability Management Committee (ALCO) during a meeting on January 13, 2026, following a review of MCLR calculations as of January 10. All other MCLR tenors remain unchanged.

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The one-month MCLR stands at 8.30%, three-month at 8.40%, six-month at 8.65%, and the one-year MCLR at 8.80%. The two-year MCLR is also unchanged at 8.80%, while the three-year MCLR continues at 8.85%.

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Also Read: Raamdeo Agrawal's big call: Auto will be the star sector in 2026

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The revised rates will remain in force until further review, the bank said in a regulatory filing.

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For borrowers, this means most loans linked to the MCLR won’t see a change in interest costs, while new borrowers can expect rates between 8.30% and 8.85% depending on loan tenure.

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Last month, the government launched an Offer For Sale (OFS) to pare some stake in the lender with plans to sell up to 2% of IOB's outstanding equity through the OFS, with a greenshoe option of an additional 1%.

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Shares of the company ended at ₹35.48 on Tuesday, which is 0.54% higher than the day's opening on the NSE.

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Indian Overseas Bank cuts overnight MCLR by 5 bps

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