Loans to get costlier as RBI hikes rates by 25 bps

Mumbai: Following 25 basis points hike in Repo Rates to 6.5 pc, the EMI to get costlier.

The repo hike will make retail loans such as home, auto, and personal loans and others costlier, and borrowers should ready for higher monthly EMIs or tenor extensions, or both.

The RBI had raised key lending rate by 35 basis points in December, after three straight 50 bps hikes.

This was the first Monetary Policy Statement of the year.

The standing deposit facility rate will stand revised to 6.25% and the marginal standing facility rate and the bank rate to 6.75 pc. (UNI)