Interest Rates: The Iconic Banks That Tell Bad News To Customers

As the Reserve Bank of India (RBI) raised interest rates, banks also started announcing interest rate hikes. Private sector giant ICICI Bank and public sector bank Bank of Baroda have announced that they are raising interest rates. Interest rates on home loans linked to the repo rate have risen. The RBI on Wednesday raised the key interest rate repo by 40 basis points. It also increased the cash reserve ratio by 50 basis points. The RBI has announced that it is raising interest rates to curb inflation. It also signaled that interest rates would rise further. Banks are announcing an increase in home loan interest rates linked to the repo rate with the RBI announcement. Among the banks that have raised external benchmark linked loan interest rates are ICICI Bank and Bank of Baroda.

ICICI Bank RLLR loan interest rate ..
Following the RBI repo rate hike, ICICI Bank said on its website that the ICICI External Benchmark Lending Rate (I-EBLR) linked to the RBI policy repo rate will come into effect from May 4, 2022 at 8.10 per cent per annum. ICICI Bank has hiked this rate by 40 basis points in line with RBI.

Also Read: Interest rate up to a maximum of 20 years .. The same goes for credit card and auto loans

Bank of Baroda loan interest rate …
From May 5, 2022, the repo-linked Baroda Lending Rate (BRLLR) will be 6.90 per cent on retail loans, the BOB said. Bank of Baroda also raised the rate by 40 basis points. It looks like more banks will be making these announcements soon. A 40 basis point repo rate hike will increase costs for existing borrowers and new borrowers. External benchmark rate means that home loans linked to the repo rate will have the effect of raising the latest rates on all other loans.

Also Read: Rising interest rates .. Declining gold, like today’s prices ..!

To find comprehensive information on more than 20 areas, you can subscribe to Economic Times Prime for exclusive Economic Times articles.