After this rate hike, the customer has to now pay an interest of 10.25% as compared to 9.75% previously for the home loans up to Rs. 30 lakhs.
Further, the interest a customer has to pay on loan between Rs 30-75 lakhs will be 10.50% and above Rs 75 lakhs to 11%.
The lender also announced that, its revised retail prime lending rate will be effective from May 16. It also said that this measure is in line with the hike in interest rates in the economy that have hardened mainly due to high inflation.
Previously, Country"s largest commercial bank, State Bank of India raised its lending rates by 75 basis points with effect from May 12, thus making auto, home and personal loans dearer.