ADVERTISEMENT
RBI abolishes home loan prepayment penalty with immediate effect
Facebook's shares dropped to an all-time low of $25.75 on Tuesday, more than 30 percent below their offering price. The No. 1 social network has shed about $32 billion of its value since its haphazard May 18 IPO.
11 Jul 2012, 03:22 PM IST 
Inside an IKEA store in Stockholm, Sweden
In a relief to borrowers, the RBI today asked banks to immediately stop charging penalty on prepayment of home loans taken on floating interest rates."It has...been decided that banks will not be permitted to charge foreclosure charges/prepayment penalties on home loans on floating interest rate basis, with immediate effect," the Reserve Bank said in a communication to banks.The RBI noted that the Damodaran Committee had observed tha...
