SBI Interest Rates Hike: State Bank of India has changed the interest rates of some of its loans. The increased rates have come into effect from November 15, 2024.
SBI Interest Rates Hike: State Bank of India (SBI) has changed the interest rates of its loans, which have come into effect from November 15, 2024. Customers taking MCLR based loans will now have to pay more interest. At present, this change has been made for the interest rates of loans with tenures of three months, six months and one year. Interest rates have been increased by up to 5 basis points for loans of all these tenures. SBI has revised these interest rates for loans based on MCLR from November 15 to December 15, 2024.
New interest rates and their tenure
– Three-month MCLR: increased from 8.50% to 8.55%
– Six-month MCLR: increased from 8.85% to 8.90%
– One-year MCLR: increased from 8.95% to 9.00% (this rate is linked to auto loans)
What is MCLR?
MCLR means Marginal Cost of Funds-Based Lending Rate. This is the minimum interest rate set by the bank, below which the bank cannot give loan to any customer. You can see the current and new MCLR rates of SBI here.
|
Loan tenure |
Current MCLR (%) |
New MCLR (%) |
|
over night |
8.2 |
8.2 |
|
one month |
8.2 |
8.2 |
|
3 Months |
8.5 |
8.55 |
|
6 Months |
8.85 |
8.9 |
|
1 year |
8.95 |
9 |
|
2 years |
9.05 |
9.05 |
|
3 year |
9.1 |
9.1 |
SBI Auto Loan:
The interest rate of SBI’s auto loan is based on one year’s MCLR. However, while deciding the interest rate to be charged from a customer, the credit score of that customer is also taken into consideration. The current increase is going to affect this.
SBI Personal Loan:
The interest rate of SBI Personal Loan is based on the bank’s two-year MCLR, which is currently 9.05%. There is no change in this at present.
Current home loan rates
The current interest rates of SBI home loan are between 8.50% to 9.65%, which depends on the customer’s CIBIL score. Although the current increase is not likely to have a direct impact on home loans, but if in the future the interest on home loans is also increased due to the increase in MCLR, then these measures can be taken to reduce its impact:
1. Maintaining the existing EMI and tenure by paying a lump sum amount.
2. Increasing the loan tenure (taking age into consideration).
3. Repay the loan in the existing tenure by increasing the EMI.
