Indian Bank Revises TBLR Rates Effective September 3, 2026 – Key Changes for Borrowers
New Delhi: Indian Bank has announced a revision in its Treasury Bills Linked Lending Rates (TBLR). The change was approved by the bank’s Asset Liability Management Committee (ALCO) and will come into effect from 3 September 2026.
This update is relevant for customers whose loans are linked to TBLR. Other key rates — including MCLR, Base Rate, BPLR and RBLR — stay the same.
Revised TBLR Rates (Effective 03.09.2026)
|
Tenor |
Existing Rate |
Revised Rate |
Change |
|---|---|---|---|
|
≤ 3 months |
5.30% |
5.25% |
–0.05% |
|
> 3 months to ≤ 6 months |
5.50% |
5.55% |
+0.05% |
|
> 6 months to ≤ 1 year |
5.65% |
5.70% |
+0.05% |
|
> 1 year to ≤ 3 years |
5.65% |
5.70% |
+0.05% |
The shortest tenor (up to 3 months) has been reduced by 5 basis points. All other tenors have been increased by 5 basis points.
Rates That Remain Unchanged
Marginal Cost of Funds based Lending Rate (MCLR)
-
Overnight: 7.90%
-
1 Month: 8.20%
-
3 Months: 8.50%
-
6 Months: 8.75%
-
1 Year: 8.85%
Other Benchmarks
-
Base Rate: 9.55%
-
Benchmark Prime Lending Rate (BPLR): 13.80%
-
Policy Repo Rate: 5.25%
-
Repo Linked Benchmark Lending Rate (RBLR): 7.95%
Why This Matters
TBLR is one of the external benchmarks used by banks for certain loan products. A change of even 5 basis points can affect EMI calculations for floating-rate loans linked to this rate. Borrowers with loans in the >3-month categories will see a slight upward revision, while those with very short-term exposures benefit from the reduction in the ≤3-month slab.
The bank has informed both the National Stock Exchange (NSE Symbol: INDIANB) and BSE (Scrip Code: 532814) as required under SEBI LODR regulations.
Quick Takeaways for Customers
-
New TBLR rates apply from 3 September 2026.
-
Only TBLR has been revised; MCLR and RBLR remain unchanged.
-
Shortest tenor (≤3 months) is lower; all longer tenors are higher by 0.05%.
-
Existing loan agreements will continue as per their original terms unless reset clauses are triggered.
Customers are advised to check with their branch or the bank’s website for the exact impact on their specific loan accounts.
Source: Official communication from Indian Bank Investor Services Cell dated 01.09.2026 (Ref. No.: ISC/190/2026-27)