COVID-19 loan relief: loan account must be healthy as of February 29 All banks and other lenders in the country will soon credit the difference between compound and simple interest on eligible loan repayments of up to Rs 2 crore due between March and August. The move is intended to …
Read More »Lenders Will Credit Interest On Interest To Borrowers By Nov. 5, Center Says
The Center informed the Supreme Court that the lenders were ordered to repay interest on interest New Delhi: The Center has informed the Supreme Court that lenders have been ordered to credit the accounts of eligible borrowers by Nov. 5 the difference between compound interest and simple interest charged on …
Read More »Did you pay EMI on time during the lockdown? Banks will offer refunds now
In the wake of the coronavirus pandemic in the country, the Reserve Bank of India announced in March a moratorium on repayment for three months. Subsequently, the central bank extended the moratorium period until August 31. Later, a borrower from Agra filed a petition in the Supreme Court not to …
Read More »Superior Court Says on Center’s Decision to Waive Compound Interest on Loans
The Supreme Court said today that the center’s affidavit on the exemption of “interest on interest” on loans of up to 2 million rupees, frozen during a six-month moratorium granted due to the coronavirus crisis, was unsatisfactory and requested a new version in a week. The affidavit “does not address …
Read More »SC gives the Center, RBI and banks more time to file a response in case of loan default
On Monday, the Supreme Court adjourned the loan moratorium case until October 5, giving the Center, the Reserve Bank of India (RBI) and the banks more time to work together and present a concrete response on their position on the waiver of interest charged during the moratorium period. . The …
Read More »An Agra Optician’s Claim in SC Could Cost Indian Banks $ 27 Billion
Now, however, the 53-year-old optician’s $ 13,500 debt risks destabilizing India’s banks, officials warn. That’s because a complaint he filed challenging the loan relief plan – bundled with those of other borrowers and now before the Supreme Court – could spell a $ 27 billion hit to lenders – more …
Read More »Panel of Experts to Help the Government Assess Relief to Bank Borrowers
The Finance Ministry said Thursday that it has established a committee of experts to assess the impact of the “waiver of interest and waiver of interest on interest” of the COVID-19 moratorium on the economy and suggest measures to provide relief to borrowers. The committee comprised of former chairman of …
Read More »RBI likely to announce one-time loan restructuring guidelines soon
The Reserve Bank of India (RBI) is likely to announce the financial parameters of its proposed loan restructuring plan soon. In his interview with CNBC AwaazRBI Governor Shaktikanta Das said banks can extend the loan moratorium by 3, 6, or even 12 months under the one-time restructuring. To mitigate the …
Read More »Banks should not declare accounts as NPA until a new order is placed, says SC
India’s Supreme Court approved an interim order on Thursday saying that accounts not reported as non-performing assets (NPAs) as of August 31 will not be declared as NPA until further notice. The high court on Thursday heard a series of petitions seeking a waiver of interest on the loan moratorium …
Read More »The loan moratorium can be extended for 2 years: Government
NEW DELHI : The moratorium on loan repayment can be extended up to two years, according to an Aug. 6 circular from the Reserve Bank of India, Attorney General Tushar Mehta told the Supreme Court on Tuesday. “We are in the process of identifying the sectors in difficulty to vary …
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