Raghuram Rajan likely to announced a third rate hike. Will it work?

Reserve Bank of India (RBI) Governor Raghuram Rajan is very likely to announce a third hike in the repo rate since he took charge three and a half months ago. There is widespread expectation that, at the mid-quarter review of monetary policy on December 18 (Wednesday), there will be another increase of 25 basis points in the repo rate, raising ... Read More »

Wilful defaulters may have to pay higher rates, warns RBI

Concerned over rising bad loans, the Reserve Bank of India on Wednesday said it could consider making future borrowings more expensive for willful defaulters. Speaking at the Delhi Economic Conclave, RBI Governor Raghuram Rajan said the central bank will come out with a discussion paper next week with regard to distressed borrowers and rising NPAs. “For wilful defaulters or a ... Read More »

Commercial vehicles loan stress hit new peak in Q2: India Ratings

India Ratings has said stressed assets in the commercial vehicles (CV) loan books of lenders hit a new high of 3 per cent in September quarter due to the lingering slowdown. The agency cautioned that the asset quality stress will continue at least for the next two quarters. “Delinquencies of CV loans rose to 3 per cent in the September ... Read More »

Best Loan Buys

Are you scouting for a loan to buy a house, a car or for your child’s education? Given here are the best deals on offer from public and private sector lenders. (All rates updated till 13 October 2013; Data provided by [“source-businesstoday”] Read More »

Canara Bank cuts fixed deposit rates by up to 1 pc

State-owned Canara Bank on Tuesday lowered fixed deposit rates by up to 1 per cent on select maturities. The bank has slashed the interest rate by 1 per cent on maturities of 61-90 days to 7.75 per cent from 8.75 per cent earlier. For maturities of 91-120 days, the new rate would be lower by 0.5 per cent to 8.50 ... Read More »

Punching PIN must for debit card transactions from Dec 1

Debit card holders will from Sunday be required to punch in their PIN numbers every time they use the card, a move aimed at minimising frauds. In June, the Reserve Bank of India had extended the deadline for the implementation of mandatory PIN punching at Point-of-Sales (PoS) and merchant outlets till November 30 following representation of banks. “Our back-end system ... Read More »

Loans Get Dearer

In its second quarter monetary policy released October 29, the Reserve Bank of India, or RBI, increased the repo rate, at which it lends to banks, by 25 basis points or bps. Simultaneously, it reduced the marginal standing facility, or MSF, rate, at which it lends emergency funds to banks, by an identical margin. This rate cut is putting downward ... Read More »

RBI extends special forex windows for banks till December 31

After getting a good response to the double forex swap windows – aimed to shore up forex buffer and prop up the rupee – the Reserve Bank of India (RBI) has allowed banks to utilise the special window till December 31 to borrow forex against their core capital, but with riders. The other swap window was to draw in NRI ... Read More »

Net bad loans of 40 banks soar by 38 per cent in April-Sept

The net bad assets of the 40 listed banks have jumped 38 per cent to Rs 1,28,533 crore during the first half of this financial year, from Rs 93,109 crore at the end of the last financial year. According to a study by, of the total 40 listed banks, 14 banks have reported more than 50 per cent jump ... Read More »

Canara Bank hikes fixed deposit rates by 0.50 per cent

Taking cue from other lenders, state-run Canara Bank has hiked interest rates on fixed deposits by up to 0.50 per cent. Fixed deposits in the maturity bracket of 46 days to 60 days and 61 days to 90 days would now fetch interest rates of 7.50 per cent, up from 7 per cent earlier, effective Friday, the bank said in ... Read More »