Public Notice

<strong>SBI Keeps Home Loan Rates Stable in May 2025 After April Rate Cut</strong>

State Bank of India (SBI), the country's largest public sector lender, has decided to maintain its benchmark lending rates stable for May 2025. These are both the <strong>Marginal Cost of Funds Based Lending Rate (MCLR) and the external benchmark-based ones such as the Repo Linked Lending Rate (RLLR).</strong> This is after an April 2025 reduction in <strong>lending rates by 0.25%,</strong> following the Reserve Bank of India (RBI) lowering the repo rate by 25 basis points in its monetary policy review.

<div class="related-article-inline"><p class="related-heading">Also Read</p><a href="/indian-bank-introduces-new-fds-with-interest-up-to-7-9-377510.html" class="related-link">Indian Bank Introduces New FDs with Interest Up to 7.9%</a></div>

SBI reduced its external benchmark-based loan rates by up to 0.25% in April 2025 in tandem with the central bank's easing of monetary policy. The new rates applied from April 15, 2025.
<h2 id="latest-sbi-external-benchmark-rate-ebr">Latest SBI External Benchmark Rate (EBR)</h2>
From April 15, 2025, SBI’s External Benchmark Rate (EBR) stands at 8.65%. The EBR is used by the bank to determine interest rates on various floating rate loans, including home loans. It is made up of two components:
<ul>
 	<li><strong>RBI Repo Rate: 6.00%</strong></li>
 	<li><strong>Bank’s Spread: 2.65%</strong></li>
</ul>
<strong>Thus, EBR = 6.00% + 2.65% = 8.65%</strong>

<div class="related-article-inline"><p class="related-heading">Also Read</p><a href="/8-common-mistakes-to-avoid-in-upsc-epfo-prep-377601.html" class="related-link">8 Common Mistakes to Avoid in UPSC EPFO Prep</a></div>
<h2 id="home-loan-rates-based-on-external-benchmark-lending-rate-eblr">Home Loan Rates Based on External Benchmark Lending Rate (EBLR)</h2>
SBI’s EBLR is also pegged to the RBI’s repo rate, with an additional Credit Risk Premium (CRP) and Business Strategy Premium (BSP) depending on the borrower's creditworthiness and loan product. As of April 15, 2025, the<strong> EBLR is set at 8.65%</strong>, calculated as:
<ul>
 	<li><strong>Repo Rate: 6%</strong></li>
 	<li><strong>Spread (CRP + BSP): 2.65%</strong></li>
 	<li><strong>Total = 8.65%</strong></li>
</ul>
<h2 id="repo-linked-lending-rate-rllr">Repo Linked Lending Rate (RLLR)</h2>
The bank’s RLLR also follows the RBI’s repo rate, plus a credit risk premium. The latest RLLR, effective from April 15, 2025, is 8.25%, comprising:
<ul>
 	<li><strong>Repo Rate: 6%</strong></li>
 	<li><strong>Credit Risk Premium: 2.25%</strong></li>
</ul>
<h2 id="sbi-mclr-may-2025">SBI MCLR – May 2025</h2>
There have been no changes to SBI’s MCLR for May 2025. The latest MCLR across different tenures is as follows:

<div class="related-article-inline"><p class="related-heading">Also Read</p><a href="/187-startups-approved-for-tax-relief-under-revised-section-80-iac-377599.html" class="related-link">187 Startups Approved for Tax Relief Under Revised Section 80-IAC</a></div>
<table>
<thead>
<tr>
<th>Tenor</th>
<th>Existing MCLR (%)</th>
<th>Revised MCLR (%)</th>
</tr>
</thead>
<tbody>
<tr>
<td><strong>Overnight</strong></td>
<td><strong>8.20</strong></td>
<td><strong>8.20</strong></td>
</tr>
<tr>
<td><strong>One Month</strong></td>
<td><strong>8.20</strong></td>
<td><strong>8.20</strong></td>
</tr>
<tr>
<td><strong>Three Months</strong></td>
<td><strong>8.55</strong></td>
<td><strong>8.55</strong></td>
</tr>
<tr>
<td><strong>Six Months</strong></td>
<td><strong>8.90</strong></td>
<td><strong>8.90</strong></td>
</tr>
<tr>
<td><strong>One Year</strong></td>
<td><strong>9.00</strong></td>
<td><strong>9.00</strong></td>
</tr>
<tr>
<td><strong>Two Years</strong></td>
<td><strong>9.05</strong></td>
<td><strong>9.05</strong></td>
</tr>
<tr>
<td><strong>Three Years</strong></td>
<td><strong>9.10</strong></td>
<td><strong>9.10</strong></td>
</tr>
</tbody>
</table>
<ul>
 	<li><strong>Overnight &amp; One-month MCLR: 8.20%</strong></li>
 	<li><strong>Three-month MCLR: 8.55%</strong></li>
 	<li><strong>Six-month MCLR: 8.90%</strong></li>
 	<li><strong>One-year MCLR: 9.00%</strong></li>
 	<li><strong>Two-year MCLR: 9.05%</strong></li>
 	<li><strong>Three-year MCLR: 9.10%</strong></li>
</ul>
<h2 id="understanding-mclr">Understanding MCLR</h2>
Marginal Cost of Funds Based Lending Rate (MCLR) is a benchmark upon which banks fix interest rates for floating-rate loans such as home, vehicle, and personal loans. <strong>Sliding MCLR is likely to lower Equated Monthly Installments (EMIs) or decrease the tenor of loans for the borrower.</strong> However, from October 1, 2019, banks have considerably shifted towards lending loans on the basis of external benchmarks rather than MCLR.
<h2 id="current-sbi-home-loan-interest-rates">Current SBI Home Loan Interest Rates</h2>
SBI home loan rates range from <strong>8% to 8.95%, depending on the borrower's CIBIL score. For SBI Home Loan Maxgain Overdraft (OD) accounts, the rates would be 8.25% to 9.15%. For top-up loans, the rates would be 8.30% to 10.80%.</strong> All these rates are effective from April 15, 2025.

In all, the constant lending rates in May 2025 represent a time of stability after the rate modifications in April to create a predictable lending environment for borrowers.

SBI keeps home loan rates steady in May 2025 after April cut. Check latest external benchmark and MCLR rates effective from April 15, 2025.

SBI Keeps Home Loan Rates Stable in May 2025 After April Rate Cut

Home Loan Rates Based on External Benchmark Lending Rate (EBLR)

ITAT upholds deletion of loan, bad debt and estimated profit additions in Revenue appeals.

ITAT Deletes Section 68 Addition on Director Loans Supported by Evidence

Tribunal invalidates reassessment after holding Section 148 notice was issued beyond statutory limitation period.

ITAT Quashes Time-Barred Reassessment Notice Issued Beyond Limitation Period

Important Rule Changes That Have Taken Effect in India Since July 1, 2026

ITAT permits Section 57 deduction and fresh appellate claim despite denial of Section 11 exemption.

Unregistered Trust Can Claim Section 57 Deduction Despite Section 11 Denial: ITAT

ITAT deletes TP adjustments and restores Section 80-IA deduction on captive electricity and steam transfers.

ITAT Restores Section 80-IA Deduction, Deletes Electricity and Steam TP Adjustments

ITAT Restricts Tax Addition to 8% Profit on Undisclosed Bank Deposits

AI and font forensics help uncover Rs 68 lakh capital gains tax fraud in Hyderabad, highlighting the power of digital tools in tax enforcement.

AI Tools Catch Rs. 68 Lakh Capital Gains Tax Fraud in Hyderabad

Bank of Baroda chief manager dies by suicide in Pune branch due to work pressure, raising concerns over staff stress and poor workload management.

Bank of Baroda Chief Manager’s Suicide Raises Concerns Over Work Pressure

ED seizes Rs. 6.8 crore assets of CA Tehmul Sethna in a money laundering case linked to ERDC trust and demonetisation-related unaccounted income.

CA in Trouble: ED Seizes Rs. 6.8 Cr Assets in ERDC Trust Fraud Case

Gujarat Ambuja Exports receives GST demand order of Rs. 33 lakh for FY 2019-20 over ineligible ITC. Company plans to appeal the tax order.

Gujarat Ambuja Exports Receives GST Demand Order of Rs. 33 Lakh

GST AAR confirms exchange of silver scrap for ornaments is taxable supply; clarifies E-way bill rules and HSN codes for silver items.

GST AAR: Exchange of Silverscrap for finished ornaments Supply

Income Tax

Finance

ICAI

Judgement

ITAT Delhi

ITAT

Chartered Accountant

Institute of Chartered Accountants of India

CBDT

Tribunal holds completed property transaction cannot be taxed in incorrect assessment year by Revenue authorities.

ITAT Quashes Assessment After Holding Property Transaction Did Not Belong to Relevant Assessment Year

ITAT orders fresh verification of loans, capital credits and grants partial gross profit relief.

ITAT Remands Section 68 Additions, Grants Relief on Gross Profit Addition

Tribunal restores appeal after accepting bona fide explanation for prolonged delay in filing before appellate authority.