Home loans to become cheaper, thanks to RBI’s latest move

“With the new risk weights announced yesterday by the RBI, loan value has been delinked in ascertaining the risk weights. Banks requirement of capital would come down due to the lower risk weightage based on LTV. This might transform to lower interest rates; however, it all depends upon the risk appetite of the bank,” said Divakar Vijayasarathy, Founder and Managing Partner, DVS Advisors LLP.