The State bank of India announced on Wednesday that there’s going to be a small rise in rates for car loans and personal loans.
The MD of SBI said: “we have announced like in benchmark prime lending rates by 75basis points…Consequently, we will be raising rates by 75 basis points on an average.” Mr. Aggarwal added, “This interest rate cycle has peaked in economy and the rates are likely to stabilize at this level.”
SBI is going to raise interest rates in some schemes. SBI had also announced 0.75 % in its benchmark prime lending rate to 12.25% last month.
It is expected that a few loan rates may get 1 % hike and some may get 0.50% hike, but average will be stand as 0.75% and this rate hike will be announced in few days. On other hand new educational loans up to rupees 4 lakh are free from this hike, and agriculture loans less than three lakh are also excluded from its affect.