Recommendations of the Tarun Ramadorai Household Finance Committee Report. The research analyses household-level micro-data from India and 6 other countries.Edited excerpts:
Mortgages
> Real-time reset of floating interest rates, common quotation conventions.
> Quoting loans to customers in the form of a market-wide standardised rate + spread as opposed to MCLR + spread, to facilitate cross-product comparison.
> Standardising the reset period across banks, to be immediate.
> Banks should quote the rate for every fixed rate product relative to the repo rate.