The State Bank of India (SBI) will hike its benchmark prime lending rate (BPLR) by 70 basis points (bps) or 0.7 per cent to 14.85 per cent from March 15. The current BPLR stands at 14.15 per cent. The country’s largest public lender will also hike base rate by 70 bps from the existing 9.40 per cent to 10.10 per cent. SBI revised its benchmark prime lending rate as well as base rate on December 15, 2022.
The public lender, however, decided to keep the marginal cost of funds-based lending rates unchanged. This implies that the rate of home loans will not be impacted. MCLR is the rate at which a bank gives out loans to customers.
SBI had last hiked the MCLR rates on February 15, 2023 by 10 basis points or 0.1 per cent. At present, the overnight MCLR stands at 7.95 per cent whereas the monthly MCLR rate stands at 8.10 per cent. The three-month MCLR rate and six-month MCLR rate stand at 8.10 per cent and 8.40 per cent respectively.
MCLR rates for one-year loans, two-year loans and three-year loans stand at 8.50 per cent, 8.60 per cent, and 8.70 per cent respectively. SBI had hiked the rate on which it lends loans to its customers after the RBI hiked repo rate by 25 basis points to 6.50 per cent on February 8 in a bid to tackle inflation.
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