Banks start hiking MCLR on loans: How it can impact your EMIs

The marginal cost of lending rate, or MCLR, is a benchmark interest rate that represents the lowest rate at which banks are permitted to lend to their customers.
Let’s compare and discover which bank offers the best deal after the raise.

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The State Bank of India (SBI) has increased the marginal cost of lending rate (MCLR) on loans by ten basis points.
The overnight, one-month, three-month, and six-month MCLR rates have all been raised by 10 basis points to 6.75 percent, 6.75 percent, and 7.05 percent, respectively, according to the SBI website. Similarly, the one-year MCLR is 7.10 percent, and the two-year MCLR is 7.30 percent.

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With effect from April 12, 2022, the BoB has increased the marginal cost of funds-based lending interest rates on loans by 0.05 percent. Bank of Baroda has increased its overnight, one-month, three-month, and six-month marginal cost of funds-based MCLR rates by 0.05 percent to 6.50 percent, 6.95 percent, 7.10 percent, and 7.20 percent, respectively. According to a press statement from the Bank of Baroda, the MCLR for a one-year tenor is 7.35 percent.

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The marginal cost of funds-based lending rate (MCLR) on loans has been raised by Axis Bank, just days after the State Bank of India (SBI) raised it. MCLR rates have been raised by 5 basis points across all tenors, according to the Axis Bank website. On April 18, 2022, the new prices will take effect.
Axis Bank has upped its overnight, one-month, three-month, and six-month marginal cost of funds-based MCLR rates by 0.05 percent to 7.15 percent, 7.25 percent, and 7.30 percent, respectively. Similarly, the one-year MCLR is 7.35 percent, the two-year is 7.45 percent, and the three-year is 7.50 percent.

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The Kotak Mahindra Bank’s marginal cost of lending rate (MCLR) has been adjusted for all loan tenors.
The most recent overnight MCLR is 6.65 percent, with one-month, three-month, and six-month rates of 6.90 percent, 6.95 percent, and 7.25 percent, respectively. The one-year, two-year, and three-year rates, respectively, are 7.40 percent, 7.70 percent, and 7.90 percent.

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