The State Bank of India (SBI) raises interest rate on loans
text_fields
Mumbai: Those paying off EMIs on home, auto and personal loans at the State Bank of India may have to set aside a bit more from their monthly pay.
SBI has hiked its base rate of lending from 10.10 per cent to 10.25 per cent which is likely to lead to an increase in the EMIs of home, auto and personal loans.
The increase in the marginal cost of lending rate (MCLR) of the country’s leading bank now ranges between 8 per cent and 8.85 per cent.
The new rates have come into effect from December 15.
The overnight MCLR rate is set at 8 per cent, while the rates for one month and three-month tenures have been increased from 8.15 per cent to 8.20 per cent.
Since SBI is the bellwether for the banking sector, it is expected that other banks may also follow suit and hike interest rates.
IANS with edits