MCLR Change: Will Your EMI Rise in 2025?

Indian Bank has revised its MCLR and TBLR rates on select tenors. If your home loan, personal loan, or car loan is linked to MCLR, your EMI may change at your next reset date. Here's what you need to know.

Here's what happened: Indian Bank revised its Marginal Cost of Funds based Lending Rate (MCLR) across select tenors, which directly sets the floor for floating-rate loans.. The Treasury Bill Linked Rate (TBLR) was also revised — this benchmark is used for short-term and some retail lending products at the bank.. Key lending benchmarks for certain tenors remain unchanged, meaning not all borrowers at Indian Bank will see an immediate EMI impact..

What you should do: Check your loan sanction letter or latest bank statement to confirm whether your loan is MCLR-linked, repo-linked (EBLR), or fixed rate.. Call Indian Bank's customer care or log in to net banking to find your loan's reset date — MCLR changes only apply at the next reset cycle.. Compare your current effective interest rate with rates offered by other lenders; if the gap is over 0.50%, consider a balance transfer to save on EMIs..

MCLR-linked loans reset annually for most borrowers — even if rates rise today, your EMI won't change until your reset date. Mark that date on your calendar.