A recent press report said that public sector lender Bank of Baroda has raised its base rate and benchmark prime lending rate (BPLR) by 0.5 per cent each. Accordingly, the new rates will be 10 per cent and 14.25 per cent, respectively. The bank has planned to impose the change in the rates right away.
Oriental Bank of Commerce, State-run lender too has raised its base rate and benchmark prime lending rate by 50 basis points each to 10 percent and 14.25 percent, respectively. The bank is well known for its loans ( home loan, Car loan or vehicle Loan scheme, Loans for professionals etc.) as they come in a wide variety of categories. The options are virtually endless.
State Bank of India, the country’s largest lender, said that it has decided to review its interest rates next month. Mr. Pratip Chaudhuri, Chairman of SBI said the bank was not going to review its interest rates immediately and the review is likely to happen in the month of June.
The decesions of the banks are made after the raise of the interest rates by a sharper-than-expected 50 basis points by the Reserve Bank of India. The Reserve Bank of India said that fighting inflation was top priority, even at the expense of short-term growth.