Not offering emergency loans through YONO: India’s largest bank State Bank of India or SBI has clarified that it is currently not offering any emergency loan scheme via its Yono app. But SBI said that it will soon introduce a pre-approved personal loan offering through YONO for salaried customers who are facing cash-flow problems due to coronavirus crisis.

“This is regarding the news being widely reported about the ‘SBI Emergency Loan scheme via YONO’. We would like to clarify that SBI is not offering any such loan at present. We also urge our customers not to believe on these rumors,” SBI said in a statement.

“However the bank is in the process to introduce soon a pre-approved personal loan offering through YONO to provide relief to the salaried customers of SBI who are facing cash-flow problems due to COVID,” SBI said in a statement.

YONO, or ‘You Only Need One’, is a digital service platform of SBI which provides its customers all-in-one solutions for banking, shopping, lifestyle and investment needs.

Media reports have stated that the public sector lender is offering emergency loans of up to Rs 5 lakh within ’45 minutes’. The loans will be given at an interest rate of 10.5 percent and EMIs will start after a period of six months, the reports said.

SBI said the details of the new product will be communicated once it is launched.

However, SBI had on Thursday slashed its marginal cost of funds based lending rate (MCLR) by 15 basis points and introduced a special deposit scheme for senior citizens with a higher interest rate. SBI’s marginal cost of funds based lending rate (MCLR) comes down to 7.25% from 7.40% with effect from today, lowering the home loan EMIs for customers whose loans are linked to the MCLR rates.
.The country’s largest lender has introduced a new product ‘SBI Wecare Deposit’ for senior citizens in the retail term deposit segment to safeguard their interests in the current falling rate regime.