Sbi increases Mclr by 10 points per second across all mandates; Sbi home loan, Emis personal loan expected to increase
The State Bank of India (SBI) on Monday raised its marginal cost of funds-based lending rates (MCLR) by 10 basis points (bps) across all mandates. The decision of the country’s largest lender will come into effect from Friday.
The one-year MCLR, which is considered the benchmark, has now risen to 7.10% from the previous 7%. The MCLR on loans from other tenures is now also increased by 10 basis points (Please refer to the table below).
The overnight MCLR will now be at 6.75% from the previous 6.65%. A three-year loan would have an MCLR of 7.40% per annum and a two-year loan would have 7.30%. Loans for shorter terms such as six months, three months and one month would be 7.05%, 6.75% and 6.75%, respectively.
The SBI had earlier in mid-February raised interest rates on fixed deposits (FD) for tenors longer than two years by 10 to 15 basis points. As a result, the FD term of 2 years to less than 3 years will earn an interest of 5.20%. News rates were applicable to FDs worth less than Rs 2 crore.
Last week, India’s largest private sector lender, HDFC Bank, also raised interest rates on FDs whose corpus is below Rs 2 crore. The interest rate for the various mandates was raised by 5 to 10 basis points.