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Bank of Baroda increases MCLR by 5 basis points days after SBI rate hike

The rise in MCLR will make home, auto and other loans costlier for customers

Press Trust of India  |  New Delhi 

Bank of Baroda

Wednesday said it has increased the marginal cost of funds based lending rate (MCLR) by 0.05 per cent across tenors, days after market leader hiked the rates.

The bank has revised at 5 basis points (bps) above existing level across all tenors with effect from September 7, 2018, the bank said in a release.

The one-year has been increased to 8.55 per cent from 8.50 per cent. Among others, six and three-month will attract lending rates of 8.40 per cent and 8.20 per cent, respectively.

Overnight and one-month rates will be at 8.05 per cent and 8.10 per cent, said.

Last week, had increased the lending rate by 20 basis points or 0.20 per cent across all tenors up to three years.

SBI's MCLR for a one-year tenor has been increased to 8.45 per cent from 8.25 per cent. Most of the retail loans are bench-marked against one-year MCLR.

The MCLR for a three-year tenor of increased to 8.65 per cent from 8.45 per cent.

Likewise, private sector ICICI Bank had announced to increase the one-year MCLR by 0.15 per cent to 8.55 per cent.

The rise in MCLR will make home, auto and other loans costlier for customers.

Stock of closed 0.62 per cent down at Rs 144.45 on BSE.

First Published: Wed, September 05 2018. 16:25 IST