RBI Cuts Repo Rate; Banks Slash Loan Rates, Big Relief for Customers

• RBI reduced the repo rate by 25 basis points to 5.25% following its Monetary Policy Committee meeting.
• The rate cut is expected to lower home loan interest rates, easing EMI burdens for current borrowers and making loans cheaper for new applicants.
• Indian Bank, Bank of India, and Bank of Baroda promptly announced reductions in their repo-linked lending rates.
• Indian Bank's rate is now 7.95%, Bank of India's 8.1% (effective Dec 5), and Bank of Baroda's 7.9% (effective Dec 6).
• Other major banks like HDFC, ICICI, Kotak, SBI, and Canara Bank also offer competitive rates, providing significant relief to borrowers.

Why It Matters: RBI's rate cut means cheaper loans and lower EMIs for many borrowers.