Loan Interest Rate: After the new hike, the overnight MCLR of Canara Bank is 7.95%, while the one-month MCLR is 8.05%. The six-month MCLR is 8.50, while the three-month MCLR is 8.15%. The bank’s MCLR is 8.70% for a tenure of 1 year.
Bank Loan: If you are thinking of taking a loan, then be careful, because now taking a loan in some banks is going to be costlier than before. Actually, the lending rates are being increased by the banks. Due to this, taking a loan will be expensive.
Public sector lender Canara Bank has increased home loan rates and other loan rates with effect from 12 August. India’s top banks, including HDFC Bank, ICICI Bank, Bank of Baroda and Bank of India, increased the marginal cost of funds-based lending rate (MCLR) in August.
Loan
After the new hike, Canara Bank’s overnight MCLR is 7.95%, while one month MCLR is 8.05%. The six-month MCLR is 8.50, while the three-month MCLR is 8.15%. The bank’s MCLR is 8.70% for a tenure of 1 year. These MCLRs will be applicable only to fresh loans / advances sanctioned / first disbursements made on or after March 12, 2023 and those credit facilities renewed / reviewed / reset and where switchover to MCLR linked interest rate is permitted at the option of the borrower Is.
Bank interest rate
The increase in bank interest rates will have a direct impact on new loan borrowers. When banks increase the interest rates on their retail loans, they usually increase the loan tenure instead of the monthly EMI.
HDFC Bank’s MCLR rates in August 2023
HDFC Bank has increased the benchmark marginal cost of funds-based lending rates (MCLR) by 15 basis points (bps) on select tenors with effect from 7 August. However, for tenors exceeding one year, the MCLR will remain unchanged.
Bank of Baroda MCLR Rates in August 2023
Bank of Baroda (BoB) has increased its benchmark lending rates by 5 basis points (bps) on various tenors. The new rates will be applicable from August 12.
ICICI, Punjab National Bank, Bank of India hike rates
ICICI Bank, Punjab National Bank and Bank of India have revised their marginal cost-based lending rate (MCLR) on loans. As per bank websites, the revised interest rates are effective from August 1. The new interest rates are effective from August 1, 2023, the lenders mentioned on their websites.
No change in repo rate
The Reserve Bank of India (RBI) has kept its key policy rates unchanged for the third time in a row. In a unanimous decision, the MPC retained the benchmark repurchase rate (repo) at 6.50 per cent. The outcome of the meeting was announced by RBI chief Shaktikanta Das on 10 August.
