Bank of Baroda (BoB) has revised its oneyear Marginal Cost of FundsBased Lending Rate (MCLR) to 8.90%, effective May 12, 2025. The adjustment comes as part of the bank’s periodic rate review, impacting home, personal, and auto loan borrowers linked to MCLRbased interest rates.
Key Highlights:
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Revised MCLR Rates: BoB’s oneyear MCLR now stands at 8.90%, while sixmonth MCLR is at 8.75% and threemonth MCLR at 8.50%.
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Impact on Borrowers: The revision may lead to slightly higher EMIs for loans linked to MCLR, affecting floatingrate borrowers.
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Competitive Positioning: BoB’s new rate aligns with other major banks, including PNB (8.90%) and SBI (8.95%), ensuring market competitiveness.
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Rate Trend Analysis: BoB’s MCLR has fluctuated between 8.80% and 8.95% over the past six months, reflecting broader banking sector adjustments.
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Future Outlook: Analysts suggest that MCLR movements will depend on RBI’s monetary policy, inflation trends, and liquidity conditions in the banking system.
With this latest revision, Bank of Baroda continues to adjust lending rates in response to market dynamics, ensuring competitive loan offerings for borrowers.
Sources: Moneycontrol, Economic Times