As the Reserve Bank of India (RBI) approaches its third monetary policy meeting on August 10, borrowers are wary of a possible repo rate hike following the Federal Reserve’s recent rate increase. The RBI’s previous decisions not to raise the repo rate have provided relief to borrowers, but this time, they might face higher EMIs on home loans and car loans.
Borrowers Nervous as RBI’s Monetary Policy Meeting Approaches
Meanwhile, with rising inflation, many economists believe that the RBI could follow the Federal Reserve and increase rates. Moreover, some banks are ending special FD schemes, such as IDBI Bank’s Amrit Mahotsav and SBI’s Amrit Kalash, offering attractive interest rates up to 7.60% for senior citizens.
Potential Impact on EMIs for Home Loans and Car Loans
Additionally, individuals need to e-verify their income tax returns by August, or face penalties of up to Rs 5,000 for late filing. Furthermore, cashback benefits on Flipkart using Axis Bank Credit Cards will be reduced starting August 12. With these changes in August, individuals must stay informed about their financial decisions.