Canara Bank lifts MCLR 5 bps across tenors, pushing one-year benchmark to 8.75%
Effective 12 May, Canara Bank raised MCLR by 5 bps across all tenors, taking the retail-linked one-year rate to 8.75% from 8.70%. Floating-rate home, auto and personal loan EMIs will reset higher; fixed-rate loans and deposits are unaffected.
What happened
Canara Bank raised MCLR by 5 bps across all tenors effective 12 May, lifting the retail-linked one-year rate to 8.75%. Floating-rate auto, home and personal
Key facts
- 5 bps
- overnight MCLR 7.90% (from 7.85%)
- 1-month 7.95% (from 7.90%)
- 3-month 8.20% (from 8.15%)
- 6-month 8.55% (from 8.50%)
- 1-year 8.75% (from 8.70%)
- 2-year 9.00% (from 8.95%)
- 3-year 9.05% (from 9.00%)
Why this matters
Canara's tenor-wide MCLR lift signals continued industry repricing pressure; competitors should reassess retail loan pricing spreads and deposit strategy to avoid sharp customer attrition to fixed-rate alternatives.