Canara Bank on Tuesday said it has hiked the benchmark MCLR by up to 0.15 percent, a move that will make loans costlier.
The revised marginal cost of funds-based lending rate (MCLR) across various tenors would be effective from Wednesday, the lender said in a regulatory filing.
The benchmark one-year MCLR will be 7.75 percent against the existing rate of 7.65 percent.
The one-year rate is used to fix most consumer loans such as auto, personal, and home loans.
The overnight and one-month tenor MCLRs are raised by 0.10 percent each while the three-month maturity bucket increased by 0.15 percent or 15 basis points to 7.25 percent. The hike is in line with other peers following RBI raising its key lending rate last month. RBI hiked repo rate, at which the central bank lends to banks, by 50 basis points to 5.4 percent.