Reserve Bank of India (RBI) would bring in greater transparency in the resetting of the interest rate on equated monthly installments (EMI) for floating-interest loans. At present, loan seekers can switch from floating and fixed interest rates and vice versa but have to pay a nominal conversion fee which varies between _______of the total home loan amount.
Reserve Bank of India (RBI) would bring in greater transparency in the resetting of the interest rate on equated monthly installments (EMI) for floating-interest loans. A floating interest rate is a rate that varies or changes along with the changing market conditions as opposed to a fixed interest rate which remains the same for the entire tenure of the loan. The new framework will allow borrowers to switch to fixed interest rates from floating interest rates. This would provide relief to borrowers of home, auto, and other loans reeling under the impact of high interest rates.The framework will require Regulated Entities to (i) clearly communicate with borrowers for resetting the tenor and/or EMI; (ii) provide options for switching to fixed-rate loans or foreclosure of loans; (iii) disclose various charges incidental to the exercise of the options; and (iv) ensure proper communication of key information to borrowers. At present, loan seekers can switch from floating and fixed interest rates and vice versa but have to pay a nominal conversion fee. The fee varies between 0.50 percent to 2 percent of the total home loan amount.
Amrit Mahotsav FD scheme is launched for its retail investors, offering returns of 7.65% for elderly individuals and 7.15% for the general public. Which...
Which of the following statements about health insurance in India is/are correct?
1) The Ayushman Bharat Yojana is a health insurance scheme f...
Consider the following statements about fiscal management.
1. The Union government will give 50 year interest free loans to states which are t...
The Competition Commission of India (CCI) approves the proposed combination involving the acquisition by Housing Development Finance Corporation Limited...
Match the following:
According to the Union Budget 2023-24, consider the following statements. The Budget adopts seven priorities.
1. Inclusive Development
Consider the following statements about the budget allocations of fiscal year 2023-24 across the ministries and choose which is the correct answer.
Under the Pradhan Mantri Mudra Yojana (PMMY), collateral-free institutional credit up to _________ is provided by Member Lending Institutions (MLIs).
What is the maximum one can deposit in the Sukanya Samriddhi Account?
Which of the following is a measure of how the returns of two risky assets move in relation to each other?