Home Loan gets costlier, as ICICI, HDFC hike Lending Rates

Barely two days after the RBI hiked the repo rate and CRR, the leading private banks HDFC and ICICI have hiked their lending rated by 0.75 per cent. That means, consumers will have to pay much more to get home loans from these banks. The HDFC customers will now have to pay a minimum of 11.75 per cent interest on home loans. The auto loans and personal loans from HDFC Bank have also gone up.

The ICICI Bank too raised its main lending rates by 75 basis points. According to an ICICI Bank statement, the corporate lending rate will rise to 17.25 percent and retail rate to 14.25. The deposit rate will also go up by 75-100 basis points. Other PSU Banks such as Bank of Rajasthan, Punjab National Bank, Axis Bank and Jammu & Kashmir Bank have also raised their interest rates.