reserve Bank of India Has given great news after 5 years. The RBI has reduced the major interest rate repo rate for the first time in five years. In the RBI MPC meeting, it has been decided to reduce the repo rate from 0.25 per cent to 6.25 per cent. With this, other banks can also reduce interest rates on loans. This will provide cheaper loans to people and help in GDP growth. Those who have taken a loan at floating rate, the loan EMI of those customers is also expected to be reduced in the coming time. However, those who have taken a loan at a fixed rate will remain the same.
When will the banks reduce interest?
Founder and CEO Atul Monga, a basic home loan, said, “It may take some time for banks and housing finance companies to reach these benefits to consumers, it will depend on their policy and rate cycle. This decision will speed up the real estate sector, people will be attracted to buy homes and invest in property. It is expected that GDP will also increase during FY 2025-26. However, the increase of GDP also depends on economic conditions, inflation and domestic demand. ‘
Lender
|
Loan amount
|
Loan period
|
Existing interest rate
|
EMI
|
New interest rate
|
New EMI
|
|---|---|---|---|---|---|---|
| Bank-1 | 50 lakhs | 30 years | 8.75% | 39,335 | 8.50% | 38,446 |
| Bank-2 | 50 lakhs | 30 years | 9.55% | 42,225 | 9.30% | 41,315 |
How much EMI will decrease?
Suppose you have taken a home loan of Rs 50 lakh for 30 years at 8.75 percent floating rate from a bank. Your EMI in this loan will be becoming Rs 39,335. After the rate cut, your interest rate can come down to 8.50 percent, which will reduce your monthly EMI to Rs 38,446. At the same time, if you have taken this loan at a rate of 9.55%, then your EMI will come down from Rs 42,225 to Rs 41,315 if you rate 9.30%.
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