HDFC Bank, Canara Bank, Indian Overseas Bank, Bank of Maharashtra, and Karur Vysya Bank on Monday said they revised their lending rates based on marginal cost of funds and repo rate. This comes after the monetary policy committee raised the benchmark repo rate by 40 basis points (bps) to 4.40 per cent in an off-cycle meeting to tame rising inflation.
HDFC Bank hiked marginal cost of funds based lending rate (MCLR) by 25 bps across all tenures up to 7.7 per cent, effective May 7. The overnight MCLR stands at 7.15 per cent compared to 6.9 per cent earlier.
Canara Bank said it raised the repo linked lending rate to 7.30 per cent. Indian Overseas Bank has revised the lending rate to 7.25 per cent. Bank of Maharashtra and Karur Vysya Bank said they revised lending rates based on MCLR and repo rate.