The MCLR, or Marginal Cost of Fund-Based Lending Rate, is the lowest interest rate that a financial institution is required to charge for a given loan. It establishes the minimum interest rate that can be charged on a loan.
PNB
Punjab National Bank will increase all of its marginal cost of funds-based lending rates by 10 basis points. The new rates are effective from March 1, 2023.
According to the PNB website, PNB’s overnight benchmark marginal cost of lending rate has increased from 7.90 percent to 8 percent.
The rates for one month, three months, and six months rising to 8.10 percent, 8.20%, and 8.40 percent, respectively. On the other hand, the one-year MCLR has surged from 8.40 percent to 8.50 percent, while the three-year MCLR has risen from 8.70 percent to 8.80 percent.
| MCLR TENOR | Existing W.E.F. 01.02.2023 | Revised W.E.F. 01.03.2023 |
| Overnight | 7.90% | 8.00% |
| One month | 8.00% | 8.10% |
| Three month | 8.10% | 8.20% |
| Six month | 8.30% | 8.40% |
| One year | 8.40% | 8.50% |
| Three years | 8.70% | 8.80% |
Bank of IndiaBank of India hiked its marginal cost of funds-based lending rates by 10 basis points on select tenures. According to the Bank of India website, the bank’s overnight benchmark marginal cost of lending rate was unchanged at 7.50% percent. The rates for one month, three months, and six months was increased by 10 bps to 7.95percent, 8 percent, and 8.25 percent, respectively. On the other hand, the one-year MCLR has surged from 8.40 percent to 8.50 percent, while the three-year MCLR has risen from 8.60 percent to 8.70 percent.These rates are effective from March 1, 2023.
| Rate effective from 01.03.2023 | MCLR | |
| 1 | Overnight MCLR | 7.50% |
| 2 | 1 Month MCLR | 7.95% |
| 3 | 3 Month MCLR | 8.00% |
| 4 | 6 Months MCLR | 8.25% |
| 5 | 1 Year MCLR | 8.50% |
| 6 | 3 Year MCLR | 8.70% |
Bandhan Bank
Bandhan Bank revised its marginal cost of funds-based lending rates. These rates are effective from February 28, 2023.
According to the Bandhan bank website, the bank’s overnight benchmark marginal cost of lending rate is at 6.71% percent.
The rates for one month, three months, and six months is to 6.71 percent, 8.21 percent, and 8.21 percent, respectively. On the other hand, the one-year MCLR is now at 10.96 percent.
| Tenor | MCLR (in %) |
| Overnight | 6.71% |
| 1 Month | 6.71% |
| 3 Months | 8.21% |
| 6 Months | 8.21% |
| 1 Year | 10.96% |
| 2 Years | 10.96% |
| 3 Years | 10.96% |