# RBI proposes tighter loan pricing rules from April 2027 2026-08-15T08:50:40+00:00 | Governance | Indian Opinion Desk Corroboration: 2 independent outlets The Reserve Bank of India has proposed tighter rules for setting and revising loan interest rates, with the framework scheduled to take effect on April 1, 2027. Banks would calculate MCLR using a three-month moving average of the cost of new domestic deposits and borrowings. The data would be system-generated and independently verifiable. The draft also requires lenders to document their spread-setting methods and disclose benchmarks, spread components and pricing methodology. The proposal would not ban different rates for new and existing borrowers, but could limit repeated changes to lender-controlled spreads. Credit-risk premiums could change when a borrower’s credit profile changes, while other spread components could not be revised for three years. Floating-rate personal and MSME loans at banks would have to use external benchmarks. Existing loans would be migrated to the new framework by April 1, 2029, through a one-time mapping exercise. ## Coverage - bfsi.economictimes.indiatimes.com - businesstoday.in Tags: India, MSME, NBFCs, RBI Canonical: https://indianopinion.org/rbi-draft-may-curb-preferential-loan-rates-for-new-borrowers/ License: Summary and commentary (c) Indian Opinion, reusable with attribution. Facts belong to the linked sources. Cite: https://indianopinion.org/rbi-draft-may-curb-preferential-loan-rates-for-new-borrowers/#story-in-brief Review state: restored archive article, accurate at time of publication, not offered to search indexes.