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HDFC Bank Raises Loan Rates: EMIs Set to Climb
9 Jun
Summary
- HDFC Bank increased lending rates by up to 10 basis points.
- Revised rates took effect on Monday, June 8, 2026.
- The one-year MCLR, crucial for most consumer loans, rose by 5 basis points.
HDFC Bank, a private sector lender, has implemented an increase in its marginal cost of funds-based lending rates (MCLR). The revised rates, effective from Monday, June 8, 2026, saw hikes of up to 10 basis points across various tenors.
This decision follows the central bank's recent stance of maintaining interest rates, amidst concerns over rising energy prices and supply chain disruptions due to the West Asia crisis. The increase in MCLR signifies a shift that could lead to higher EMIs for loan borrowers, with the full effect depending on the loan's reset date.
The most significant increase, a hike of 10 basis points, was applied to loans with a two-year maturity, raising the rate to 8.55%. The benchmark one-year MCLR, a key indicator for most consumer loans like auto, personal, and home loans, was also adjusted upwards by 5 basis points to 8.40%.
Other tenors such as overnight, three-month, six-month, and three-year MCLRs were increased by 5 basis points to 8.10%, 8.20%, 8.35%, and 8.65% respectively. The one-month MCLR remained unchanged at 8.05%. This revision follows a recent period where HDFC Bank had previously reduced several MCLR rates.
