Nation

RBI asks lending institutions to implement waiver of interest on interest scheme

The Reserve Bank has asked all lending institutions to credit the interest waiver on loans upto two crore rupees for the six months moratorium period beginning March 1, 2020. The government announced the scheme for grant of ex-gratia payment of difference between compound interest and simple interest for six months to borrowers in specified loan accounts. Under the scheme, the lending institutions have been mandated to grant ex-gratia payment to certain categories of borrowers through crediting the difference between simple interest and compound interest for the period between March 1- August 31, 2020.
 
In a notification issued yesterday, RBI advised lenders to take necessary action within the stipulated timeline. The government has asked banks to credit the amount to borrowers by 5th of November. As per the scheme, the lending institutions shall credit the difference between compound interest and simple interest with regard to the eligible borrowers in respective accounts for the said period irrespective of whether the borrower availed the moratorium on repayment of loan or not.
 
Post payment, lenders can claim the amount from the central government. The scheme will cover education, housing, automobile  loans, MSME loans, personal loans to professionals, credit card dues, consumer durable loans and consumption loans.

Click to comment

Leave a Reply

Your email address will not be published.

two + three =

News is information about current events. News is provided through many different media: word of mouth, printing, postal systems, broadcasting, electronic communication, and also on the testimony of observers and witnesses to events. It is also used as a platform to manufacture opinion for the population.

Contact Info

Address:
D 601  Riddhi Sidhi CHSL
Unnant Nagar Road 2
Kamaraj Nagar, Goreagaon West
Mumbai 400062 .

Email Id: [email protected]

West Bengal

Eastern Regional Office
Indsamachar Digital Media
Siddha Gibson 1,
Gibson Lane, 1st floor, R. No. 114,
Kolkata – 700069.
West Bengal.

Office Address

251 B-Wing,First Floor,
Orchard Corporate Park, Royal Palms,
Arey Road, Goreagon East,
Mumbai – 400065.

Download Our Mobile App

IndSamachar Android App IndSamachar IOS App
To Top
WhatsApp WhatsApp us