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How mclr is different from base rate, and how customers are benefitted?
Can you explain to me how MCLR is different from base rate, and how it benefits customers?
Yes, MCLR stands for Marginal Cost of Funds Based Lending Rate and is a methodology used by banks to calculate their interest rates on loans. Base rate, on the other hand, is the minimum rate set by the Reserve Bank of India, below which banks cannot lend to their customers.