HDFC Bank MCLR Rates: Private sector HDFC Bank has given a big shock to the customers. If you also have an account in this bank then this is important news for you. The bank has increased the MCLR rates on selected loan tenures.
HDFC Bank MCLR Rates: Private sector HDFC Bank has given a big shock to the customers. If you also have an account in this bank then this is important news for you. The bank has increased the MCLR rates on selected loan tenures. After this decision of the bank, the loan EMI of the customers may increase. The bank has said that the new rates have come into effect from today i.e. January 8.
According to the website of HDFC Bank, the MCLR range of the bank is between 8.80 percent to 9.30 percent. Overnight MCLR has increased by 10 basis points, after which this rate has increased from 8.70 percent to 8.80 percent.
How much have MCLR rates changed?
Apart from this, the bank has increased the one month MCLR by 5 bps from 8.75 percent to 8.80 percent. Three-month MCLR has increased from 8.95 percent to 9 percent. Six-month MCLR has also increased to 9.20 percent. Apart from this, one year MCLR has increased by 5 bps from 9.20 percent to 9.25 percent. At the same time, 3-year MCLR is only at 9.30 percent.
What is MCLR?
Let us tell you that MCLR means Marginal Cost of Funds Based Lending Rate. This is the minimum rate below which no bank can give loans to customers. The more MCLR rates increase, the more the interest also increases. It is mandatory for banks to release their overnight, one month, three month, six month, one year and two year MCLR every month.
Loan Rates Increase
If any bank increases the MCLR rates, it means that the interest rate on marginal cost related loans like home loan, vehicle loan increases. One thing you should keep in mind is that when MCLR increases, the loan interest rate does not increase immediately but the EMI of the loan borrowers increases only on the reset date.
Many banks have increased the rates
Recently many banks including SBI and Indian Bank have increased the MCLR rates. Indian Bank has increased MCLR rates by 0.05 percent. These bank rates are applicable from January 3.
