BANKING GENERAL KNOWLEDGE
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Quarter
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Detailed explanation-1: -(v) Banks shall review the Base Rate at least once in a quarter with the approval of the Board or the Asset Liability Management Committees (ALCOs) as per the bank’s practice. (vi) Banks shall not review the Base Rate methodology for at least a period of three years from date of its finalization.
Detailed explanation-2: -In general terms, the base rate is the rate per annum equal to the greatest of: The prime rate (the variable annual rate of interest so designated from time to time by that lender in the US as its “prime rate");
Detailed explanation-3: -Reserve Bank of India-Lending Rates.
Detailed explanation-4: -Definition: Base rate is the minimum rate set by the Reserve Bank of India below which banks are not allowed to lend to its customers.