SBI Hikes Home Loans Rates. Check Revised Lending Rates For HDFC, PNB, BoB

The hike in the MCLR rate affects consumer loan rates including personal loans, auto loans, home loans. Check revised MCLR rates of banks here.

India’s top lender State Bank of India (SBI) has raised the marginal cost of funds-based lending rate (MCLR) by 10 basis points (bps). The hike comes within a week after the Reserve Bank of India (RBI) raised its repo rate by 25 bps to 6.50 per cent.

The MCLR is the internal benchmark interest rate, which is the minimum rate at which banks are allowed to lend. It is set by the bank adhering to the guidelines set by the RBI. 

The hike in the MCLR rate affects consumer loan rates including personal loans, auto loans, and home loans. The majority of such consumer loans are tied to the MCLR which will make loans costlier. 

SBI has raised the overnight MCLR rate by 10 bps to 7.95 per cent from 7.85 per cent. The rate for one month tenure has been increased by 10 bps to 8.10 per cent from 8.00 per cent.

The three-month MCLR is at 8.10 per cent now, which has been raised from 8.00 per cent. The six-month MCLR stands at 8.40 per cent, which was 8.30 per cent earlier.

For a one-year period, the new rate will be increased to 8.50 per cent against 8.40 per cent. For a two-year tenure, the new MCLR is 8.60 per cent from 8.50 per cent. The rate for three-year tenure has been raised to 8.70 per cent from 8.60 per cent.

All the new rates are effective from 15 February, according to the bank’s website.

HDFC, PNB, BoB MCLR Rates

HDFC Bank also raised its MCLR by up to 10 basis points across the different time period. The revised MCLR has already come into effect from February 7.

Punjab National Bank also increased the Repo Linked Lending Rate (RLLR) by 25 basis points from 8.75 per cent to 9 per cent. The rates are effective from February 9.

Bank of Baroda, too, went ahead and hiked its Marginal Cost of Funds Based Lending Rate (MCLR) by 5 basis points across all tenures. The rates have been effective from February 9, 2023.

Rate               SBI          HDFC          PNB     BoB

1-month          8.10%    8.60%         8.00%    8.20%

3-month          8.10%     8.65%       8.10%     8.30%

6-month          8.40%     8.75%       8.30%     8.40%

1-year             8.50%      8.90%       8.40%     8.55%

2-year             8.60%      9.00%        8.40% -

3-year             8.70%      9.10%        8.70% -

Source: Bank website