Canara Bank revises interest rates on loans/advances from July 7: Check details here

Canara Bank has raised the marginal cost of funds-based lending rate (MCLR) by 10 basis points across tenures with effect from Thursday.

The benchmark one-year MCLR, against which most of the consumer loans such as personal loans, auto loans and home are priced, has been raised to 7.50 percent with effect from July 7, 2022.

Here are the completes details of Canara Bank’s MCLR for different tenors

Explained | MCLR: What is it? How does a hike impact you?

The official website of Canara Bank mentions that the MCLRS shall be applicable only to new loans/advances sanctioned/first disbursement made on or after July 7. Also, to those credit facilities which are renewed/reviewed/ reset undertaken and where the switchover to MCLR linked interest rate is permitted as per the borrower’s choice, on or after July 7.

The Repo Linked Lending Rate (RLLR) of the bank will also be raised to 7.80 percent from 7.30 percent effective from July 7, as per a Business Standard report.

Following the revision in repo rate by the RBI in a bid to control inflation, a series of banks such as the HDFC Bank, SBI, Axis Bank, ICICI and Indian Bank had raised their MCLR within last month.

However, with the withdrawal of liquidity from the banking system, several banks have hiked interest rates on term deposits to provide relief to customers. As per a Financial Express report, deposits saw a growth of 9.3 percent in the fortnight ended June 3.