The largest lender of the country, State Bank of India has announced a 25 bps hike in its lending rates. Along with this, the bank has also raised fixed deposit rates by as much as 100 bps.
With prime lending rates going for a rise, all loans like auto, personal and home loans would also get dearer by atleast 25 bps.
The base rate of the bank would now stand at 9.50% following the revision with effect from July 11, 2011.
Also, the lending major has increased its benchmark prime lending rate (BPLR) to 14.25%.
Deposits having maturity in the range from 1 to 10 years would experience an interest rate of 9.25% associated with it.
Deposits having tenor of 90 days would fetch the customer an interest of 7%.
Interest for deposits from 1 to 554 days tenor would be 8.25%.
Also premature withdrawal penalty has been waived off by the bank for deposits upto 90 days tenor. For those having tenor above that, the penalty has been dipped to 0.50% from 1% earlier.