Archive · 19 Dec 2025
RBI Cuts Repo Rate, Eight Banks Lower Loan Rates
The Reserve Bank of India (RBI) recently lowered the repo rate by 25 basis points, making it 5.25 percent.
This means banks can borrow money at a cheaper rate, and they passed on some of these savings to customers.
Eight big banks, like SBI and Canara Bank, reduced their loan interest rates.
If you have a loan, whether your monthly payment (EMI) goes down depends on what type of loan you have.
Some loans change rates quickly, while others take a few months.
To find out if your loan will get cheaper, check your loan statement or call your bank.
RBI reduced the repo rate by 25 basis points to 5.25 percent.
Eight major banks have lowered their loan interest rates following the RBI's cut.
Loans linked to EBLR or RLLR will see immediate rate changes, while MCLR-linked loans will take 6-12 months.
Bank of Maharashtra reduced home loan rates to 7.10 percent and car loan rates to 7.45 percent, also waiving processing fees.
Borrowers should check their loan statements or contact their banks to determine if their EMI will be affected.
- Who
- Reserve Bank of India (RBI) and eight major banks
- What
- Repo rate cut by 25 basis points and subsequent loan rate reductions
- When
- Recently (specific date not mentioned)
- Where
- Mumbai, India
- Why
- To potentially reduce the EMI burden for borrowers
- Repo Rate Cut
- 25 basis points
- New Repo Rate
- 5.25 percent
- Banks That Reduced Rates
- SBI, Canara Bank, PNB, Indian Overseas Bank, Bank of Baroda, Bank of India, Indian Bank, Bank of Maharashtra
- Bank of Maharashtra Home Loan Rate
- 7.10 percent
- Bank of Maharashtra Car Loan Rate
- 7.45 percent
