New Delhi, July 17, 2024.
Public Sector lenders, including State Bank of India and Bank of Baroda have increased their marginal cost of funds based lending rates (MCLR).
The move is likely to be followed by other lenders also, resulting in an increase in borrowers equated monthly instalments (EMIs).
The country’s largest lender State Bank of India (SBI) has hiked MCLRs between 5 to 10 basis points (bps) on various tenors, effective Monday (July 15). A basis point is one hundredth of one percentage point.
The bank has revised its one month MCLR by 5 bps to 8.35 per cent from 8.3 per cent. The interest rates on three-month, six-month and one-year MCLRs have been raised by 10 bps each to 8.4 per cent, 8.75 per cent and 8.85 per cent, respectively, as per the SBI’s website.
The bank is now offering MCLR of 8.95 per cent on two-year loan tenor, compared to 8.85 per cent earlier.