The bank has trimmed its MCLR by 50 basis points across tenors, while the repo rate linked benchmark was reduced by 30 basis points.
The bank's 1-year MCLR is now at 8.25% compared to the previous 8.75%. For six-months and three-month tenor, MCLR is now at 8.15% and 7.80% against the previous 8.65% and 8.30% respectively.
For one month and overnight, MCLR is at 7.65% and 7.50% as compared to earlier 8.15% and 8% respectively.
The lender has levied 7.05% EBR-R compared to the previous 7.35%.
The bank's interest rates cuts despite RBI maintaining policy repo rate at 4% for the seventh consecutive time with an accommodative stance.
On Sensex, Karur Vysya Bank finished at Rs46.10 per piece down by 2.02%.