SBI, PNB hike interest rates; home, car loans to be costlier

The State Bank of India (SBI), the country's top lender, and Punjab National Bank (PNB) on Thursday raised its one-year marginal cost-based lending rates (MCLR). The hike interest rates came to effect soon after the announcement.

The MCLR determines the lending rates for SBI’s home and car loans. The SBI has hiked lending rates from 7.97 per cent to 8. 15 percent. While PNB has increased the MCLR by 15 basis point.

Last time SBI has hiked its MCLR was in April 2016. The move by the country’s top lender

And second top lender came despite the Reserve Bank of India (RBI) maintaining status quo on its rates.