SBBJ RAISES BASE RATE BY 25 BASIS POINTS TO 8 PER CENT

Less than a month ago State Bank of Bikaner and Jaipur (SBBJ) announced that the base rate or the minimum lending rate would remain at 7.75 per cent till December, but the largest associate of SBI raised the rate by 25 basis points in October itself. The base rate of the bank is fixed at 8 per cent.

However, the bank did not give any reason for deviating from its earlier stated policy on the base rate.

With the increase in base rate all kinds of loans, including housing, auto and education loans becomes dearer by at least 50 basis points (0.5 per cent).

At the same time, it also increased the benchmark lending rate for existing customer by 25 basis points to 13 per cent.

The bank raised its Benchmark Prime Lending Rate (BPLR) to 13 per cent from the existing 12.75 per cent effective October 29.

SOURCE: http://economictimes.indiatimes.com/news/news-by-industry/banking/finance/banking/SBBJ-raises-base-rate-by-25-basis-points-to-8-per-cent/articleshow/6830650.cms