BoB, ICICI and major banks raise their lending rates

New Delhi, May 6 (KNN) After the hike in repo rate announced by Reserve Bank of India (RBI) on Wednesday, major banks have increased their lending rates which will push the cost of personal loans, auto and home loans for customer has taken post October, 2019.

State owned Bank of Baroda (BoB) has raised the rate to 6.90 per cent and private lender ICICI Bank has revised its external benchmark lending rate (EBLR) to 8.10 per cent. With the changes in repo rate the EBLR moves up or down accordingly.

In an effort to curb rising inflation caused by the global geopolitical situation the central bank had increased the short term lending rate it by 0.40 per cent to 4.40 per cent.

The revised RBLR of Central Bank of India will be 7.25 per cent plus the credit risk premium (CRP), from the existing rate of 6.85 per cent plus CRP, the lender said. 

Following the revision, country’s largest revision SBI's benchmark one-year MCLR -- against which most of the consumer loans are priced -- increased to 7.10 per cent per annum.  (KNN Bureau)