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HDFC Bank has lowered its Marginal Cost of Funds-based Lending Rates (MCLR) by 10 basis points across multiple tenures. The revised rates, effective from April 7, 2025, now range between 9.10% and 9.35%.
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The overnight and one-month MCLR stand reduced to 9.10%, while the three-month rate has been cut to 9.20%.
The six-month, one-year, and two-year MCLR now stand at 9.30%. For three-year loans, the revised MCLR is 9.35%.
The revised rates are:
| Tenure | MCLR (%) |
| Overnight | 9.10% |
| 1 month | 9.10% |
| 3 months | 9.20% |
| 6 months | 9.30% |
| 1 year | 9.30% |
| 2 years | 9.30% |
| 3 years | 9.35% |
Borrowers with loans linked to MCLR will see reduced interest outgo following this rate cut.
What is MCLR?
The Marginal Cost of Funds-based Lending Rate (MCLR) is the minimum interest rate banks charge for loans. It sets the lower limit for lending rates unless revised by the Reserve Bank of India (RBI). The RBI introduced MCLR in 2016 to ensure fair pricing for borrowers.
Borrowers with loans linked to MCLR will see changes in their loan EMIs when MCLR rates fluctuate.
For those with loans taken before 2016, the base rate or Benchmark Prime Lending Rate (BPLR) still applies.
When MCLR decreases, EMIs for loans such as home, personal, and business loans also fall.
ALSO READ | HDFC Bank lowers fixed deposit interest rates on these tenures
First Published: Apr 7, 2025 5:07 PM IST
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