Several banks have made it more expensive to obtain loans this August, but why is that so? The reason is that the Reserve Bank of India (RBI) has maintained its core rates, thus leading to individual banks’ adjustment of interest rates. To make it simpler, let us check out those banks that are increasing their lending prices and the degree to which they have done so:
State Bank of India (SBI): There has been a significant rise in SBI loan rates as the lender raised its MCLR. For a one-day loan, you’ll now pay 8.20%, while for one month, you will be charged a total of 8.45%. In case you need a three-month loan, then you will pay 8.50%, and a six-month loan is pegged at 8.85%. A one-year loan attracts an interest rate of 8.95%, and two or three years’ costs would be 9.05% and 9.10%, respectively.
Bank of Baroda: This bank has raised its lending fees by hiking the MCLR rate. For instance, overnight borrowing costs 8.15%, for a month it’s 8.35%, for three months it’s 8.50%, for six months it’s 8.75%, and for a year it’s 8.95%.
HDFC Bank: HDFC Bank’s rates have also been raised the MCLR. A night-long loan will cost 9.10%, one month is 9.15%, and three months is 9.25%. A six-month loan now has a rate of 9.40% compared to the rate of 9.45% for twelve months, while two or three-year loans remain at an interest rate of 9.45%.
YES Bank: YES Bank also increased its rates under the MCLR regime. For an overnight loan, it is 9.10%, one month – 9.45%, three months –10.10%, six months -10.35%, and a year -10.50%.
Canara Bank: Canara Bank’s new rates under MCLR are as follows: Overnight – 8.25%; One Month – 8.35%; Three Months – 8.45%; Six Months –8.80%. A Year has a rate of 9%; Two Years has a rate of 9.30%; and Three Years has a rate of 9.40%.
Punjab National Bank: PNB has raised its lending rates marginally. Now, an overnight loan rate is 8.30%, one month is 8.35%, three months is 8.55%, and one year is 8.90%. For three years, it’s 9.20%, starting August 1, 2024.
IDBI Bank: IDBI Bank has also increased its MCLR, they are 8.40% for overnight, 8.55% for one month, 8.85% for three months, 9.10% for six months, 9.15% for a year, 9.70% for two years, and 10.10% for three years, starting August 12, 2024.
So when planning on securing some loaned cash, consider these changes!
Obtaining a loan became more expensive as some of the leading banks of India hiked their MCLR. Here’s all you need to know. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
