Big news in banking: The RBI has issued Directions. (Read Description)

If you take a floating-rate loan or renew one, the bank cannot charge you pre-payment or foreclosure penalty under these new rules.

The rule also targets business loans to individuals & MSEs and aims to eliminate hidden costs in loan contracts. Fixed-rate loans or some special cases may still have charges-always check your loan agreement for the clause.

This will be applicable from 1 January 2026.

What this means for you:
•Thinking of clearing your loan early? Now you might owe less.
• Planning to switch your loan to a lower-rate lender? The barrier just got lower.
•Save the video - this one could literally save you thousands in hidden bank fees.
•Want the full circular PDF? Comment "Bank Loan" and I'll DM you the link.

#RBIRules #PrePaymentCharges #HomeLoanTip #BankingUpdate #FloatingRateLoan #Financelndia #LoanAwareness #FintaxPlanner
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