If you are planning to take a loan from HDFC Bank, there’s some bad news.
The largest private sector bank in India has increased its Marginal Cost of Funds-based Lending Rates (MCLR).
This means that loans from HDFC Bank are now going to be more expensive.
According to the bank’s website, the interest rates on loans have been raised by 5 basis points for a 3-month period.
After this change, the MCLR interest rates at HDFC Bank now range between 9.10% and 9.45%.
Latest Interest Rates for Different Tenures
While the lending rates for most tenures remain unchanged, the bank has revised the rate for the 3-month tenure. Here are the current rates:
Overnight loans: 9.10%
One-month loans: 9.15%
Three-month loans: increased from 9.25% to 9.30%
Six-month MCLR: 9.40%
One-year, two-year, and three-year MCLR: 9.45%
What is MCLR?
MCLR is the minimum interest rate a bank charges for a loan. It sets the lower limit for loan interest rates.
Any changes in MCLR directly impact the Equated Monthly Installment (EMI) of home loans, car loans, and education loans.
With this increase, customers will have to pay more on their loan repayments
