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South Indian Bank Ltd has revised its lending rates, setting the one-year MCLR at 9.65% effective November 20, 2025. Other tenors were also adjusted. The move, aligned with RBI guidelines, impacts borrowers across home, personal, and SME loans, reflecting tighter liquidity and rising funding costs in the banking sector.
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South Indian Bank Ltd (SIBK.NS) has announced a revision in its Marginal Cost of Funds Based Lending Rate (MCLR), effective November 20, 2025. The bank has set its one-year MCLR at 9.65%, a move that will directly impact borrowers with loans linked to this benchmark.
Key highlights from the announcement:
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The one-year MCLR is fixed at 9.65%, effective November 20, 2025.
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Other tenors have also been revised, with overnight MCLR at 8.15%, one-month at 8.65%, and three-month at 9.60%.
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This adjustment is in line with RBI guidelines requiring banks to periodically revise MCLR to reflect funding costs.
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Borrowers with home loans, personal loans, and SME loans tied to MCLR will see changes in their interest outgo.
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Analysts note that the revision reflects tight liquidity conditions and rising borrowing costs, aligning with broader industry trends.
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The bank has informed stock exchanges of the revision, ensuring compliance with SEBI regulations.
This revision underscores how interest rate cycles continue to influence lending costs, with borrowers advised to monitor resets closely and explore refinancing options if needed.
Sources: Reuters, ScanX News, South Indian Bank Official Website
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