BusinessRBI Raises Repo Rate to 5.50%, Impact on Car and Personal Loans
The Reserve Bank of India increased the repo rate by 25 basis points to 5.50%, the first hike since February 2023. This move aims to control inflation but may raise borrowing costs for consumers. The effect on car and personal loans depends on whether the loans have fixed or floating interest rates and the benchmarks they follow. Not all loans will see immediate or equal rate increases.
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