Many leading Indian banks have recently updated their Marginal Cost of Funds-Based Lending Rate (MCLR), which directly impacts customers’ loan costs. These changes affect loans like home loans, auto loans, and personal loans. Here’s a detailed overview of the latest interest rates from major banks such as SBI, HDFC Bank, Punjab National Bank (PNB), and others.
SBI Loan Interest Rates: Small Increases Across Tenures
The State Bank of India (SBI) has increased its three-month MCLR from 8.50% to 8.55% and its six-month MCLR from 8.85% to 8.90%. The one-year rate, applicable to most consumer loans, has risen from 8.95% to 9%. Longer tenures of two and three years now have rates of 9.05% and 9.10%, respectively.
HDFC Bank: Minor Adjustments for Short Tenures
HDFC Bank has revised rates for overnight and one-month tenures by 5 basis points (bps) and for three years by 5 bps. The updated overnight MCLR is 9.10%, and the one-month rate is now 9.15%. For longer durations, the rates are as follows:
- Three months: 9.30%
- Six months: 9.45%
- One year: 9.45%
- Two years: 9.45%
Bank of Baroda: Moderate Changes Across Tenures
Bank of Baroda has increased rates by 5 bps for various durations:
- Overnight: 8.15%
- One month: 8.35%
- Three months: 8.55%
- Six months: 8.80%
- One year: 9.00%
These revised rates took effect on November 12, 2024.
Canara Bank: Updates Across All Loan Periods
Canara Bank has made several changes to its MCLR:
- Overnight: 8.30%
- One month: 8.40%
- Three months: 8.50%
- Six months: 8.85%
- One year: 9.05%
- Two years: 9.30%
- Three years: 9.40%
These rates are effective from November 12, 2024.
PNB Updates Loan Rates
Punjab National Bank (PNB) revised its rates on November 1, 2024. The latest MCLR rates are:
- Overnight: 8.30%
- One month: 8.40%
- Three months: 8.60%
- One year: 8.95%
IDBI Bank: Higher Rates for Long-Term Loans
IDBI Bank has increased rates by 5 bps across all tenures:
- Overnight: 8.45%
- One month: 8.60%
- Three months: 8.90%
- Six months: 9.15%
- One year: 9.20%
- Two years: 9.75%
- Three years: 10.15%
These updated rates are effective from November 12, 2024.
Yes Bank: Steep Rates for Short-Term Loans
Yes Bank’s revised rates, applicable from November 1, 2024, are as follows:
- Overnight: 9.20%
- One month: 9.55%
- Three months: 10.20%
- Six months: 10.45%
- One year: 10.60%
What Is MCLR?
The Marginal Cost of Funds-Based Lending Rate (MCLR) is the minimum interest rate banks can charge for loans. Set by the Reserve Bank of India (RBI), MCLR ensures transparency in the banking system by standardizing how interest rates are calculated.
How the Changes Affect Borrowers
The updated MCLR rates directly impact home, auto, and personal loan interest. Borrowers are advised to check their bank’s latest rates to understand the cost implications. If your existing loan is linked to MCLR, your Equated Monthly Installments (EMIs) may increase depending on the revised rates.
Stay informed about such changes to manage your loan repayments and financial planning better.
