Govt interest for loan in Nationalised bank is 9% per annum. Processing fees, compulsory insurance and interest for loan is 21% to 26%. But in practical situation people are paying almost 35%. Also person to person interest rates vary. Interest rate is different while getting and its different while repaying it. Many are violating RBI rules. RBI is not taking any action against any micro finance agency. Information by Kuruvammal from Semmalara union.
