By SRELJ Bureau
Reserve Bank of India announced Governor’s Statement – Seventh Bi-monthly Monetary Policy Statement, 2019-20, on March 27, 2020 have suggested to all banks and NBFCs to consider a moratorium period of three months for repayments of loan which were due as on 1st March 2020.
The note said “All commercial banks (including regional rural banks, small finance banks and local area banks), co-operative banks, all-India Financial Institutions, and NBFCs (including housing finance companies and micro-finance institutions) (“lending institutions”) are being permitted to allow a moratorium of three months on payment of installments in respect of all term loans outstanding as on March 1, 2020.”.
Any home loan which was outstanding as on 1st March 2020 shall qualify for such moratorium period of three months. The differed repayment shall bring a sigh of relief to lakhs of home loan borrowers. It depends on bank to bank for such directives as RBI have “permitted to allow” the deferred payments of EMI.
It is up to banks now as to give the leverages to the home loan borrowers. Dr Ajay Desai, Spark Group said that such move by government is really appreciated and came when the crises in economy is eminent.