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Reserve Bank of India unveils 2026 rules with weekly CIBIL Score updates, zero prepayment charges, more nominees, extended Gold Metal Loans and easier rate negotiation.
5 Big Loan Changes from April 1 That Can Save You Money
Loan Rule Changes 2026: In a move aimed at improving transparency and borrower convenience, the Reserve Bank of India has introduced several new rules effective from 2026. These changes will impact loan borrowers, jewellers, and bank account holders across India. From quicker credit score updates to zero foreclosure charges, the reforms are expected to make personal finance management easier and more flexible.
1. Up to 4 Nominees Now Allowed
Customers can now add up to four nominees in:
- Bank accounts
- Bank lockers
This change enhances financial security and helps families manage assets smoothly in case of unforeseen situations.
2. Faster Credit Score Updates Every Week
Under the new rules, your credit score—commonly known as the CIBIL Score—will now be updated every 7 days instead of monthly.
Key dates: 7th, 14th, 21st, and 28th of each month
This means:
- Loan repayments will reflect faster
- Missed payments will also show quickly
- Borrowers can improve their score in less time
This change is especially useful for those actively working to boost their credit profile.
3. No Prepayment Charges on Loans
From January 1, 2026, borrowers will no longer have to pay foreclosure or prepayment penalties on floating-rate loans.
Applies to:
- Home loans
- Car loans
- Education loans
- Personal loans
This allows borrowers to close loans early without worrying about extra costs, making debt repayment more flexible and cost-efficient.
4. Relief for Jewellers: Extended Repayment Period
Jewellery businesses have received a boost as the repayment tenure for Gold Metal Loans (GML) has been extended.
Earlier: 180 days
Now: 270 days
This extension will improve liquidity and give jewellers more time to manage cash flow effectively.
5. Better Chances of Lower Interest Rates
Borrowers with a strong credit profile can now negotiate better loan terms more easily.
Lower interest rates possible
No need to wait for long loan tenure
A high credit score can directly translate into cheaper loans and better financial deals.
March 28, 2026, 2:14 PM IST
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