What is BLR(Base lending rate in banks)
What is BLR(Base lending rate in banks)
www.shakyamuniacademy4ca.com (CA Coaching center) (371 Points)
06 June 2009
www.shakyamuniacademy4ca.com (CA Coaching center) (371 Points)
06 June 2009What is BLR(Base lending rate in banks)
Pratyush Mittal
(Equity analyst & Web Developer)
(58 Points)
Replied 06 June 2009
BLR or Prime Lending Rate is the optimum rate of lending of a bank. The loans given by the bank are with respect to this PLR (depending upon the risk).
Say PLR of a bank is 12%. Then a loan will be represented by something like +2% over PLR, meaning the lending rate will be 14%. Thus if PLR goes down to say 10% then the interest on that loan will to go down by 2% to become 12%.
You can also go through a good presentation created by me to explain the loan appraisal process by banks https://dalaal-street.com/bank-loan-insight/ .
Hope that helps.
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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