RBI has revised lending guidelines for REITs and InvITs, allowing banks to lend directly while introducing stricter safeguards. Only SEBI-registered entities with at least 80% cash-generating assets can qualify. RBI has also capped total bank exposure at 49% of asset value to maintain asset quality and financial stability.
Pre-EMI is applicable in home loans or construction-linked loans before the full loan amount is disbursed. During this period, borrowers pay only the interest on the disbursed amount and not the principal. Regular EMIs begin after the entire loan is disbursed.
Banks are increasingly raising funds through overseas deposits and loans, which could reduce their dependence on domestic funding. As a result, Certificate of Deposit (CD) rates may decline by up to 100 basis points (1%), lowering banks' funding costs and improving liquidity.
The continued decline of the Indian rupee against major foreign currencies is increasing the cost of studying abroad. As tuition fees, accommodation, and living expenses become more expensive in rupee terms, many overseas students are approaching lenders for top-up education loans to bridge the funding gap and continue their studies.
The continued depreciation of the Indian rupee against the US dollar is increasing the financial burden on students studying abroad. Higher tuition fees, living expenses, and other costs now require more rupees to cover the same dollar expenses, leading many students and families to rely more heavily on education loans.
A 22-year-old woman who took a ₹40 lakh education loan to study abroad said the decision was worth it because it helped her build a global network of friends across 33 countries. However, many people on social media questioned whether networking alone justifies such a large loan, asking how the EMI repayments would be managed.
Missing an education loan EMI can lead to penalties, lower your credit score, and trigger recovery action by the bank. However, lenders must follow legal procedures and cannot harass borrowers. You have the right to receive proper notices, discuss restructuring options, and seek relief under applicable banking guidelines.
Starting July 1, student loan borrowers will have access to two new repayment options. These new plans are designed to provide greater flexibility based on a borrower's income and financial situation. Choosing the right plan can significantly impact monthly EMI payments, total interest costs, and the overall loan repayment period.