OPEN APP
Home / Industry / Banking /  HDFC Bank hikes lending rates across tenures. Home loan to be costlier
Listen to this article

HDFC Bank has hiked its Marginal Cost of Funds Based Lending Rate (MCLR) across all tenors for borrowers by 5-10 basis points (bps) with effect from today, 8 August 2022. One basis point is one-hundredth of a percentage point.

A hike in the MCLR rate implies an increase in loan interests for new and existing borrowers, including equated monthly instalments (EMIs) for home loans, vehicle loans and any other loan related to marginal cost.

Under the revised rates, effective August 8, HDFC Bank's one-year MCLR has increased to 8.1 per cent, while the overnight MCLR rose to 7.8 per cent, as per information posted on the bank's website. The one-year MCLR is considered important from a retail loans perspective, as a bank's long-term loans like home loans are linked to this rate.

For the one-month, three-month and six-month tenor, the MCLR will be 7.80%, 7.85% and 7.95% respectively.

HDFC Bank MCLR rates effective August 8, 2022

TenorMCLR
Overnight7.80%
1 Month7.80%
3 Month7.85%
6 Month7.95%
1 Year8.10%
2 Year8.20%
3 Year8.30%

The rate hike comes after RBI's Monetary Policy Committee (MPC) meeting last week in which the central bank had hiked repo rate by 50 basis points to 5.4% to tame high inflation.

Earlier this month ICICI Bank too raised their lending rates across all tenors. Indian Bank too announced a revision in its MCLR rates effective 3 August.

On Sunday, Canara Bank announces a hike in its repo rate linked lending rate by 50 basis points (bps) .

The country's largest lender State Bank of India decided to increase its marginal cost of lending rate (MCLR) on loans by 10 basis points or 0.10 per cent effective from July 15, 2022.

 

Catch all the Industry News, Banking News and Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.

Recommended For You

Trending Stocks

×
Get alerts on WhatsApp
Set Preferences My ReadsWatchlistFeedbackRedeem a Gift CardLogout