The new RBI Policy and the Repo Rate Cut
|source via:- google search,India news,the new RBI policy and repo rate cut will benefit the loan takers in their EMI and many factors|
There is a new rate for all and bank have to pass on the new and better rates to the borrowers, if they do not do so you should shift your loan to other banks and try exploring.
This is an example of how the 25 bps rate cut will be to explain you practically.
On EMIs: The immediate and most visible impact is on the EMI's. Let's say the EMI on Rs 40-lakh loan for 15 years at 9.50 percent is Rs 41,769. If there is a 0.25 percent decrease in home loan rate, the EMI falls to Rs 41,168, saving of Rs 600 a month.
By this example, we hope you got to know about exactly how the new RBI repo rate cut comes into play.