1. Floating Interest Rates
Floating rates are linked to external benchmarks (RLLR/EBLR). When RBI reduces policy interest rates, your loan interest rate drops automatically.
Frequently Asked Questions
Q:Are floating home loan prepayment penalties allowed in India?
No, RBI prohibits banks and HFCs from charging foreclosure or prepayment penalties on floating rate home loans for individual borrowers.
Related Home Loan Guides
Understanding Home Loans: A Complete Buyer Guide
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Read Guide →Verisure Channel Partner CRM
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