According to a recent press the new policy rate hike seems not to have come as a jitter to small private lenders. Small private lenders such as Catholic Syrian Bank, Tamilnad Mercantile Bank and City Union Bank have already raised their base rate before RBI’s rate hike announcement.
Mr. A.K. Jagannathan Managing Director and Chief Executive of Tamilnad Mercantile Bank said that the bank has recently hiked its “rate just ahead of the RBI’s review of the policy, and is not planning to hike the rates.
Mr. V.P. Iswardas, Managing Director of Catholic Syrian Bank said that the bank has already factored this hike and so there might not be any immediate hike in lending rates.
Lakshmi Vilas Bank’s Chief Executive, Mr. P.R. Somasundaram said, “I am illogically optimistic about the future, as everything seems loaded to one side.”
Most of the small private lenders have hiked their lending rate following the recent policy rate hike by the RBI. The banks offer home loans, mortgage loans, reverse mortgage loans, personal loans, education loan, business loans etc.