Dhanlaxmi Bank ups base rate, BPLR by 0.75%

Private sector Dhanlaxmi Bank today said it has raised its base rate and benchmark prime lending rate (BPLR) by 0.75%.

The base rate and the BPLR have been revised to 10% and 19% per annum, respectively, from the current 9.25% and 18.25%, the lender said in a release here.

"The hike in our base rate and BLPR reflects the rising trajectory of interest rates in the system," the bank's Head (Policy & Research) Rajrishi Singhal said.

The change will be applicable to all new loans and existing floating rate loans linked to base rate and BPLR. In case of existing fixed rate loans, the change in base rate will be applicable at the reset date.

Existing borrowers, whose loans are linked to BPLR, have the option to switch to the base rate system before the expiry of existing contracts on mutually agreed terms, it said.

Last month, the Kerala-based lender had revised base rate and BPLR by 0.50% and 1%, respectively, to 9.25% and 18.25%.