State Bank of India and Bank of Baroda have made their loans expensive.
India's central bank Reserve Bank of India (RBI) has increased the repo rate several times these days.
Due to the increase in the repo rate, many public sector banks are also having to increase their interest rates.
Let us tell you that recently the State Bank of India increased the interest rate charged on its loan.
Now Bank of Baroda has also decided to increase its interest rate. The new rates will be applicable from November 12.
Bank of Baroda has announced an increase of 10 to 15 basis points in its MCLR.
With the increase in interest rates, all the customers who have taken a loan will now have to pay more EMI than before.
Bank of Baroda has increased the interest rate on its one-year loan from 7.95 percent to 8.05 percent.
Let us tell you that MCLR is a minimum rate. Loans are given to customers only on MCLR.
Home loans, motor loans, personal loans, and loan EMI all become expensive due to increase in MCLR.
The full form of MCLR is the Marginal Cost of Funds Based Landing Rate. It refers to the minimum interest rate.