If you have already taken a home loan, car loan or personal loan or are thinking of taking it in future, then you need to know about the new banking rules to be implemented from May 1, 2025. These changes being brought by the Reserve Bank of India (RBI) and banks will have a direct impact on your EMI, interest rate and other aspects related to the loan.
The purpose of these new rules is to give more transparency and convenience to the customers. Let us know the 10 important changes that will apply to all types of bank loans:
Floating interest rate will be mandatory
Now all new loans will be given at floating rate only, due to which the change in EMI will be according to the repo rate.
Mandatory to give information before change in EMI
The bank will have to inform the customer 15 days before the change in EMI.
Relief in pre-payment charge
Now in most cases, there will be no additional charge for repaying the loan before time.
Discount in interest on good credit score
If the credit score is better, then the bank will have to reduce the interest rate.
Strict action on not paying EMI
If EMI is missed three times, the loan can be declared as NPA.
Online loan application will be easy
The application process for loan on digital platform will be more simple.
Transparency in processing fees is necessary
Banks will clearly tell all the charges in advance.
KYC process is completely digital
With digital KYC, document verification will be fast and easy.
Loan transfer facility will be easy
With less documentation process, there will be facility to change bank.
Special discount in interest to women customers
Women will be given special discount in interest rate on home and personal loans.