EBLR

EBLR (External Benchmark Lending Rate) is the rate to which banks must link floating-rate retail loans, under an RBI mandate effective October 2019. Most banks use the RBI repo rate as the benchmark and add a spread covering their margin and your credit profile. Because the benchmark sits outside the bank, repo-rate changes must pass through to your loan at least once a quarter — faster and more transparently than the older MCLR system. Your rate is therefore repo rate plus spread. The spread is what you negotiate; the benchmark is not.