Sign in Subscribe
Banks (Finance)

HDFC Bank Reduces Loan Rates by 30 Basis Points

Strategic Insights

— 1 min read

HDFC Bank, India's largest private lender, has announced a reduction in its loan rates, bringing relief to borrowers. The Marginal Cost of Funds Based Lending Rate (MCLR) has been cut by 30 basis points, resulting in a decrease of 0.30 percent in loan interest rates. This reduction is applicable to home loans, car loans, and other types of loans. The new interest rates are effective from July 7, 2025, and will benefit customers with floating rate loans.

Key Takeaways:

  • HDFC Bank has reduced its MCLR by 30 basis points, leading to a 0.30 percent decrease in loan interest rates.
  • The reduction is applicable to home loans, car loans, and other types of loans.
  • The new interest rates are effective from July 7, 2025.
  • The MCLR reduction will benefit customers with floating rate loans.
  • HDFC Bank's MCLR for 1 year has been reduced from 9.05 percent to 8.75 percent.
  • MCLR for 6 months and 3 months remains unchanged at 8.75 percent.
  • MCLR for 1 month has been reduced from 8.90 percent to 8.60 percent.
  • MCLR dictates the lower limit of interest rates for loans and is set in stone by the RBI, unless specified otherwise.
  • The RBI introduced the MCLR in 2016.

Statistics:

  • HDFC Bank's MCLR for 1 year has been reduced from 9.05 percent to 8.75 percent.
  • MCLR for 6 months and 3 months remains unchanged at 8.75 percent.
  • MCLR for 1 month has been reduced from 8.90 percent to 8.60 percent.
  • The reduction in MCLR is equivalent to 30 basis points.
  • The loan interest rate has been reduced by 0.30 percent.

Sources:

  • HDFC Bank's website
  • Indian National Press (Bombay) Pvt. Ltd., Copyright 2025
  • RBI's guidelines on MCLR (2016)

Read more