BAD NEWS for Loan borrowers! Indian Bank hikes lending rates by up to 25 bps-- Check new rates here

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New Delhi: State-owned Indian Bank on Monday increased lending rates, including the marginal cost of funds-based lending rates (MCLR), by up to 25 basis points. The new rates are effective from January 3, Indian Bank said in a regulatory filing.

The Asset Liability Management Committee (ALCO) of the bank has reviewed the Marginal Cost of funds-based Lending Rate (MCLR), Treasury Bills Linked Lending Rates (TBLR), Base Rate, and Benchmark Prime Lending Rate (BPLR) and decided on an upward revision in MCLR, TBLR, Base Rate and BPLR across various tenors, it noted. ()

The one-year rate is used to fix most consumer loans, such as auto, personal, and home loans. The overnight MCLR rate has been revised upward by 25 basis points to 7.75 percent, while that of one month to six months tenure hiked by 20 basis points, the bank said. ()

For one-year maturity, it said the new rate will be increased to 8.30 percent against 8.20 percent. Besides, the lender also revised the treasury bills benchmark lending rate (TBLR) in the range of 6.40 percent to 6.85 percent for various tenors.

The base rate has been revised upward by 25 basis points to 9.10 percent while Benchmark Prime Lending Rate to 13.35 percent.