Loan Foreclosure Charges: If you have also taken a home loan or personal loan from a bank, then this news is useful for you. Yes, the Reserve Bank (RBI) has issued some draft guidelines, in which it has been proposed to remove the foreclosure fee and prepayment penalty on loans with floating interest rates. RBI has sought opinion from the general public on this by March 21, 2025. When these rules are finalized, the changed rules will be applied to loans or advances. Under this, foreclosure will be done after the date mentioned in the final circular. These rules will apply to all banks and NBFCs.

There is no charge on business loan as well

According to the draft, if a person takes a loan with floating rate (changing interest rate), then he will not have to pay any kind of charge for repaying or closing the loan before time. However, this charge will be levied on business loans. Apart from this, no charge will be levied on floating rate business loans given to personal and small businesses (MSE), but some cooperative banks and NBFCs have been exempted from this. This rule will apply to all types of floating rate loans. Whether the loan is taken from anywhere and whether the loan is repaid in full or in part.

There will be no time limit.

Charges on other types of loans will be levied as per the policy of the bank or financial institution. Banks or financial institutions will provide the facility of repaying the loan before time and there will be no minimum time limit for this. If the bank or financial institution itself closes the loan, then no charges will be levied. The rule will also be that all the charges will be informed to the loan taker by the bank in advance. If any charge was waived earlier or was not informed, then it will not be levied later.

What is a floating rate loan?

Floating rate loans are loans in which the interest rate keeps changing. This interest rate changes on some standard like RBI’s repo rate or MCLR. In fixed rate loans, the interest rate remains the same throughout the loan period, but in floating rate loans, the interest rate keeps changing according to the interest rate decisions of RBI during MPC. In simple words, you can also say that in fixed rate loans, the interest always remains the same, whereas in floating rate loans, the interest keeps increasing and decreasing according to the decisions of RBI.

This simply means that when interest rates are low, Gilon borrowers can benefit from lower interest rates. But if interest rates rise, they may have to pay more money. Now, RBI has started reducing interest rates, as it cut the repo rate by 25 basis points earlier this month.

Related Articles:-

• Paytm Launches Solar-Powered Payment Soundbox, Key Feature & Benefits and More
• Infinix Note 50 Series Launch Date Announced, best features will be available in midrange price
• UP Board postponed the Examination to be held on 24 February in Prayagraj
• Credit Card: Govt will give THESE people a Credit card with a limit of ₹ 5 lakh, Know all Details
• Bank Saving Account: Get up to 7.50% interest on the balance in the savings account, check bank details

The post RBI considering removing loan foreclosure charges on floating rate loans first appeared on Rightsofemployees.com.

In this, if you want, you can get an annual interest of up to 9.45 percent. Both a normal customer and senior citizen can invest at very attractive rates. Let us know here which are those companies that are offering high interest.

Up to 9.42 percent interest is being offered here

This private sector NBFC is also offering up to 9.42 percent interest on FDs of 1500 days. Similarly, it is offering up to 9.15 percent interest on FDs of 700 days to less than 2 years. Similarly, it is offering interest ranging from 8.25 percent to 9.15 percent on FDs for a period of more than three years and less than four years. Apart from this, according to the official website, interest ranging from 8.50 percent to 9.42 percent is being offered on FDs of 730 days to 1095 days. You can get up to 8.88 percent interest on FDs of 365 days to 699 days.

Also Read: Samsung Strike: Samsung’s South India plant’s employees go on strike for second day; demand higher wages

Here you are getting up to 8.75 percent return

Ujjivan Small Finance Bank is also offering great returns on FDs. According to the official website, this bank is offering interest up to 8.75 percent. In this, you will get 8.25 percent interest on 12 months FD. Senior citizens are being offered 8.75 percent interest for the same period. If you make an FD for 12 months 1 day to 560 days (80 weeks), the bank will offer you 8.0 percent interest.

Here you are getting up to 9.45% interest

NBFC company Shriram Finance is currently offering a great interest rate on FDs. The company’s initial offer starts at 7.96 percent interest which is available on 12-month FDs. The company is offering 8.91 percent interest to general customers and 9.45 percent interest to senior citizens on its latest scheme 50-month Jubilee Deposit. Even if you make an FD for 60 months, you will be offered the same interest rate. Apart from this, the company is also offering great interest rates on FDs of 42, 36, 30 and 24 months.

Related Articles:-

GPS Toll System: Govt has approved the new system, travel up to 20 km will be free

Credit card transaction: There may be a change in online and credit card transaction rules

RBI imposed heavy fine on Axis Bank, HDFC Bank, know the reason

The post Fixed Deposit: Here is the opportunity to get FD at annual interest up to 9.45% , see details here first appeared on Rightsofemployees.com.

Earlier this week, RBI had also advised small finance companies to follow Section 269SS of the Income Tax Act.

According to section 269SS any person can make payment through specified methods. If no other person can take the deposit or loan amount.

You will get this much cash in exchange of gold loan

RBI directed that now only Rs 20,000 will be given as cash. Actually, the Central Bank noticed some problems during the inspection of IIFL Finance, after which the bank took this decision.

Commenting on the RBI decision, VP Nandakumar, MD and CEO of Manappuram Finance, said it has reiterated the Rs 20,000 limit for granting cash loans.

Indel Money CEO Umesh Mohanan said the recent RBI directive to ensure seamless transition in bank transfers is aimed at increasing compliance in the NBFC sector.

While this may bring transparency and better compliance, and is a step in the right direction towards the beginning of Digital India, it may slow down the adaptability of rural India, where many individuals are not part of the formal mainstream.

Cash Withdrawal Rules : Good News! You will not have to go to ATM to withdraw cash, now you will get money sitting at home, just do this work

The post Gold Loan Rule : Big News! RBI issued new instructions regarding gold loan first appeared on Rightsofemployees.com.

Bharathu Investment and Finance India, Cox & Kings Financial Services and PSPR Enterprises have been hit by RBI’s strictness. Along with this, 9 NBFCs and housing companies have surrendered their licenses.

These NBFCs and housing companies surrendered their licenses.

The Reserve Bank has informed that 9 NBFCs and one housing finance company have surrendered their licenses. Reliance Home Finance Limited is also included in these. The company has decided to return the license after exiting the housing finance institution business.

Among the nine NBFCs that have surrendered their licenses, Smile Microfinance, JFC Impex, Kaveri Tradefin and Ginni Tradefin have gone out of business. Apart from this, JG Trading and Investment, SK Finserv, Microfirm Capital, Bohra & Company and Mahico Grow Finance Private Limited surrendered their licenses. All these companies have given different reasons.

Number of NBFCs reduced from 200 to 26

According to RBI, the rules were not being followed properly in these NBFCs. This cannot be tolerated. The central bank said that NBFCs are formed to fulfill certain economic objectives. It is unnatural for them to demand to become like banks. RBI is not in favor of allowing more number of NBFCs to accept deposits. This is the reason why not a single new license has been given. Also, the number of NBFCs accepting deposits has reduced from 200 to only 26.

Regulatory changes coming in the financial sector

These decisions of RBI clearly show that regulatory changes are coming in the financial sector. RBI is in no mood to tolerate the loophole. This is the reason why many companies have surrendered their licenses. These steps of the central bank are to follow the regulatory rules responsibly and keep the financial system healthy and stable by making finance companies accountable.

The post RBI Action: 3 NBFCs were banned due to strictness of RBI, 9 surrendered their licenses. first appeared on Rightsofemployees.com.

Non Banking Financial Company in India. Let us inform that from January 1, 2023, Shriram Finance has increased the interest rates by 5-30 basis points i.e. basis points. The revised rates will be applicable for tenures ranging from 12 months to 60 months. This NBFC is also paying an additional 0.25 percent interest on all renewals. Let us know what are the new rates-

Revised interest rates for senior citizens from January 1- 

Revised interest rates for women + senior citizens + renewals from January 1- 

For senior citizens of above age Shriram Finance gives additional interest of 0.5% per annum. NFBC company Shriram Finance also gives an additional 0.10 percent interest to women depositors, while giving an additional 0.25 percent interest on all renewals. 

Is it safe to invest in Shriram Finance FD?

Shriram Finance is an NBFC ie Non Banking Finance Company and a part of the Shriram Group. It is one of the largest NFBC in India. However, FDs offered by NBFCs are subject to instructions issued by RBI. These deposits do not get the benefit of deposit insurance guarantee of Rs 5 lakh offered by regular banks as per RBI regulations, so depositors should exercise caution before investing in FD schemes offered by NBFCs. 

The post Senior Citizen Highest FD Rate: Women and senior citizens are getting the highest interest rate of 9.36% on FD, see the complete list first appeared on Rightsofemployees.com.