File photo  |  Photo Credit: BCCL
With upskilling the norm nowadays, many of us consider supplementing our education with additional degrees domestically or abroad. However, funding higher education, especially overseas, can be a major financial burden. When borrowing from family is not feasible, a bank loan is the only way to fulfil those scholastic aspirations.
Representational image. (Thinkstock/File)One of the biggest changes recently pushed through by the Reserve Bank of India is the linkage of bank loan interest rates to external benchmarks like the repo rate. I’ve already written about this, but as part of this linkage, banks are allowed to tweak your loan interest rate on the basis of changes in your credit profile. If your credit profile worsens, you’ll need to pay a higher interest rate on your loan.
When you need to urgently arrange for funds, what are your usual options? Some people like to apply for a personal loan, while others borrow money from close relatives or friends. Then there are others who go for a loan against their household gold, while some opt for a loan linked to their credit card. All these instruments come with their share of pros and cons. For example, some loan products may ensure quick disbursal, but may carry higher interest costs.
The @RBI is making #NEFT available 24x7 from December 2019. A Central Payment Fraud Registry has also been proposed for #onlinepayment systems.
These efforts will go a long way in increasing the confidence of customers in using #digitalpayment modes.