New Delhi: SBI (State Bank of India) has increased the minimum interest rates for home loans to 7.55 percent with effect from Wednesday. The move comes after the Reserve Bank of India (RBI) last week increased the repo rate by 50 basis points to 4.90 per cent. In May also, RBI had increased the repo rate by 40 basis points. According to the bank’s website, the lender has increased its external benchmark-based lending rate (EBLR) to a minimum of 7.55 per cent today, from 7.05 per cent earlier.
The lender also adds credit risk premium on EBLR. (Also read: UP to use CPC norms to implement RERA order, empowers officials)
The bank has increased its marginal cost of funds based lending rate (MCLR) by 20 basis points with effect from June 15. (Also read: Sensex fell for the fourth day, global market got before Fed’s decision)
On Tuesday, SBI raised interest rates by up to 20 basis points on domestic fixed deposits of less than Rs 2 crore for select tenors.
For deposits ranging from 211 days to less than 1 year, the lender will offer an interest rate of 4.60 per cent, as against 4.40 per cent earlier.
Similarly, for domestic fixed deposits of less than 1 year to 2 years, customers can earn interest of 5.30 per cent up to 0.20 per cent.
SBI has increased the interest rate from 5.20 percent to 5.35 percent for the period from 2 years to less than 3 years.
The lender has revised interest rates on domestic bulk fixed deposits of Rs 2 crore and above by 75 bps.
For tenures ranging from 1 year to less than 2 years, customers holding bulk deposits will get an interest rate of 4 per cent to 4.75 per cent with effect from June 14, 2022.
Another state-owned lender Bank of Baroda (BoB) on Wednesday announced a hike in its fixed deposit interest rates on domestic fixed deposits, including non-resident ordinary (NRO) and non-resident external (NRE) fixed deposits of less than Rs 2 crore. Deposits are included. Up to 40 basis points.
These rates are applicable from June 15, 2022, the lender said in a release.
For domestic fixed deposits of more than 1 year to 400 days, the rates have been revised to 5.45 per cent from the earlier 5.20 per cent, the release said.
BoB said that the interest rate on deposits from 2 years to 3 years will now be 5.50 per cent from the rate of 5.20 per cent. IDBI Bank has also increased its interest rate by 25 basis points (bps) on retail fixed deposits of less than Rs 2 crore with effect from Wednesday.