Canara Bank raised its marginal cost of funds-based lending rate (MCLR) on loans. In a regulatory filing, the lender stated that the new marginal cost of funds-based lending rate (MCLR) for various tenors is effective from September 7, 2022.

The bank has increased its overnight and one-month MCLRs by 10 basis points and the three-month MCLR by 15 basis points to 7.25%. The six-month rate has been increased by five basis points to 7.65%. The benchmark one-year MCLR is now 7.75%, up from 7.65% previously.

According to the BSE notification, “The above MCLRs shall be applicable only to new loans/advances sanctioned first disbursement made on or after 07.09.2022 and those credit facilities renewed/ reviewed/reset undertaken and where switchover to MCLR linked internet rate is permitted at the option of the borrower, on or after 07.09.2022.”

Canara Bank repo linked lending rate(RLLR) W.E.F 07.09.2022 is 8.30%, as per the website.

In September, big banks like HDFC Bank, ICICI Bank and PNB hiked their lending rates after the Reserve bank of India hiked repo rate by 50 basis points to 4.50 percent.