Why These 3 Major Banks Announced EMI Increase | Paisa Live

Three major Indian public sector banks—UCO Bank, Bank of Baroda, and Canara Bank—have announced an increase in their Marginal Cost of Lending Rates (MCLR). Canara Bank was the first to make this move, raising its interest rates across all tenors by 5 basis points. This adjustment affects the cost of loans and equated monthly installments (EMIs) for borrowers. The increase in MCLR reflects higher borrowing costs, which can impact loan affordability for customers. UCO Bank and Bank of Baroda are also expected to follow suit, potentially leading to a broader rise in lending rates across the banking sector. These changes are likely to affect various loan products, including personal and home loans, making it crucial for borrowers to review their financial plans.