Karur Vysya Bank has officially announced a revision to its Marginal Cost of Funds Based Lending Rates (MCLR) across all tenors. The new interest rates are scheduled to take effect from April 22, 2026. This adjustment impacts the bank’s lending benchmark, with revised rates ranging from 8.85% for overnight loans to 9.15% for one-year credit facilities, reflecting a marginal increase of 5 basis points across all categories.
Updated Lending Rate Structure
Karur Vysya Bank has implemented a strategic adjustment to its Marginal Cost of Funds Based Lending Rates (MCLR), effective from April 22, 2026. The revision results in a uniform 5 basis point increase across all specified tenors, aligning the bank’s lending benchmarks with current market conditions.
Revised MCLR Schedule
Following the latest announcement, the updated interest rate structure for the bank is as follows:
- Overnight MCLR: Revised to 8.85%
- One-month MCLR: Revised to 9.00%
- Three-month MCLR: Revised to 9.00%
- Six-month MCLR: Revised to 9.15%
- One-year MCLR: Revised to 9.15%
Impact on Borrowers
The updated rates signify a slight upward movement in the cost of funds for the bank. Customers with floating rate loans linked to the MCLR benchmark should note that their repayment schedules and interest outgo may be impacted by these changes starting April 22, 2026. This adjustment highlights the bank’s ongoing commitment to balancing its lending margins in response to the prevailing economic environment.
Source: BSE
