BBL, SCB take lead in cutting rates
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Bangkok Bank and Siam Commercial Bank take the lead in cutting loan and deposit rates.
The decision followed the 25-basis points policy rate cut by the Bank of Thailand's Monetary Policy Committee on Oct 17, said Thaweelarp Rittapirom, executive vice president of BBL.
Analysts earlier foresaw no loan/deposit rate to follow, given fierce competition to deposits in response to massive loan growth.
At BBL, both loan and deposit rates are cut by 0.125 percentage point. Loan rates for all types of loans will be cut by 0.125 percentage point, which will bring the mimimum loan rate to 7 per cent. While saving deposit rate is maintained at 0.75 per cent, its fixed deposit rates will be cut by 0.125-0.25 percentage point cut. For example, the 3-month fixed rate will be 1.75-2 per cent from 1.75-2.25 per cent while the 36-month fixed rate will be 3 per cent from 3-3.25 per cent at present. The cuts will take effect on Oct 22.
SCB also maintains saving rate and cuts long-term time deposit rates, effective on Oct 20. Time deposit rates will be cut by 0.1- 0.25 percentage point, depending on maturity.
"The rate cut follows the BOT's policy as well as market condition," said SCB President Kannikar Chalitaporn.
