Home loans, car loans to get costlier for SBI customers

New Delhi : With State Bank of India hiking its lending rate or MCLR by 0.2 per cent, car and home loans will get costlier from Saturday onwards.

The hike of 20 basis points will be applicable across all type of loans that have tenure up to three years. The new lending rate stands at 8.1% compared to earlier 7.9 per cent.

The MCLR for a one-year tenor increased to 8.45 per cent from 8.25 per cent earlier. Most of the retail loans are benchmarked against one-year MCLR.

The MCLR for a three-year tenor increased to 8.65 per cent from 8.45 per cent.

The move by State Bank of India comes almost a month after the Reserve Bank of India had increased its benchmark lending rates by up to 25 basis points.

RBI had last raised the repo rate on June 6 by 0.25 per cent to 6.25 per cent.