RBI's new banking amendments: What it means for you
The Reserve Bank of India is rolling out seven fresh banking amendments—three go live on October 1, 2025, and four more are up for public feedback until October 20.
The goal? Make loans more flexible and accessible, especially for borrowers and small businesses.
Key changes coming your way
Banks can now reduce certain components of the spread on floating-rate loans sooner, so you might see lower interest rates faster than before.
Plus, if you have a personal or MSME loan, you could get the option to switch between floating and fixed rates during resets.
Also, working capital loans backed by gold are now open to more types of borrowers—including those using gold as raw material—with smaller urban co-op banks joining in.
Draft proposals open for feedback
Some proposals—like longer repayment periods for gold metal loans (up to 270 days), wider access to jewelry production loans, and tweaks for foreign bank exposures—are still drafts.
There's also talk of weekly credit reporting with quicker fixes for errors and mandatory CKYC updates.
If you've got thoughts or concerns, RBI wants your feedback through its "Connect 2 Regulate" portal or email.