state ownership State Bank Of India and private lenders Kotak Mahindra Bank And federal bank has revised its lending rates under the marginal cost of funds based lending rate.MCLR), making consumer loans like personal, home and auto expensive.

country’s largest lender state Bank of India (SBI) has revised the benchmark one-year MCLR to 7.95 per cent, which is 25 basis points higher than the previous rate. SBI said that the new MCLR is effective from October 15, 2022.

The one-year tenor MCLR is the rate at which most consumer loans are linked.

Apart from this, SBI has also increased the two- and three-year MCLR to 8.15 per cent and 8.25 per cent, respectively, as against 7.90 per cent and 8 per cent.

Overnight, one-, three- and six-month rates have been hiked by 7.60-7.90 per cent.

Kotak Mahindra Bank said the MCLR for various tenors has been fixed in the range of 7.70-8.95 per cent with effect from October 16, 2022. Its revised one-year MCLR rate is 8.75 per cent.

South-based Federal Bank said its one-year MCLR on loans and advances has been revised to 8.70 per cent with effect from October 16.

Following reserve Bank of IndiaAfter the repo rate hike last month, many banks have revised their lending rates upwards.