How can a borrower keep track of MCLR changes and its impact on their loan EMIs?

To keep track of MCLR changes and their impact on loan EMIs, borrowers in India can follow these steps:

1. Stay updated with the bank's notifications: Banks are required to publish their MCLR rates on their websites and notify customers about any changes. Stay connected with your bank through their official website, mobile app, or other communication channels to receive timely updates.

2. Monitor financial news: Keep an eye on financial news, particularly updates related to the Reserve Bank of India (RBI) and its monetary policy decisions. Changes in the repo rate and other policy rates can have an impact on MCLR rates. Regularly check news sources, business newspapers, and financial websites to stay informed.

3. Check the bank's website or contact customer service: Visit your bank's website to find the current MCLR rates or contact their customer service for the latest information. Banks usually provide the MCLR rates for different tenures on their websites, along with the effective dates of the changes.

4. Understand the reset period: MCLR rates are typically reset at specific intervals, such as every 6 months or 1 year. Know the reset period of your loan and be aware of when the next reset will occur. This will help you anticipate any changes in your loan interest rate.

5. Use online loan calculators: Several online loan calculators are available that allow you to calculate the impact of MCLR changes on your loan EMIs. These calculators take into account the loan amount, tenure, and applicable interest rate to provide you with an estimate of the EMI amount. You can input different interest rates based on potential MCLR changes to see the impact on your EMIs.

6. Discuss with your bank: If you have any concerns or questions about MCLR changes and their impact on your loan EMIs, it is advisable to contact your bank directly. Speak with their customer service or visit a branch to seek clarification and understand how the changes may affect your specific loan.

By staying informed and proactive, you can keep track of MCLR changes and their implications on your loan EMIs. This will help you make necessary adjustments to your financial planning and budgeting accordingly.