UCO Bank Revises One-Year MCLR to 9% Effective June 10, 2025

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UCO Bank has announced a revision in its Marginal Cost of Funds-Based Lending Rate (MCLR), increasing the one-year MCLR to 9%, effective June 10, 2025. The adjustment aligns with the bank’s periodic rate revisions and reflects broader market trends in lending rates.

The revised MCLR rates will impact home loans, personal loans, and other credit facilities linked to the benchmark. Analysts suggest that the increase may be driven by rising borrowing costs and liquidity management strategies within the banking sector.

UCO Bank’s latest update follows a series of incremental rate hikes across various tenures, with the overnight MCLR at 8.25%, one-month at 8.45%, and six-month at 8.90%. The bank continues to monitor market conditions and regulatory policies to ensure competitive lending rates.

Key Highlights:

One-year MCLR revised to 9%, effective June 10, 2025.

Impacts home loans, personal loans, and credit facilities.

Incremental rate hikes across different tenures.

Reflects broader market trends and liquidity management strategies.

Source: UCO Bank Official MCLR Update | CodeForBanks | Business Standard