Interest Rates Get Affected Due to Government Directives to Bank

Interest rates on any borrowed, lent or deposited amount of money keep varying according to the economic situations in the country. Government’s directives to the banks, currency of the principal sum, market supply and demand, and provisions in the country are among the factors that affect the interest rates.

One who is in touch with the daily news updates can get a fair idea of the fluctuations in the interest rates. By keeping a close check, one can discover the time period when the best interest rate is available. At that time; if situations seem favourable; then savings, loans or other financial services can be availed.