Ulli Vishnu Satyanarayana (33) and his wife Purnima (29) killed their daughters Vineesha (4)and Veerabhadra Talvi (2) by giving food mixed with rat poison, a senior police official said.
They later committed suicide by hanging themselves from ceiling fan, he said.
Prima facie, the duo could have taken the extreme step as they had incurred heavy losses in business and pressure from money lenders to repay the loan, the officer said.
A case has been registered and a probe was on, he added.