Virender Singh 29 March 2021

for loan against property

I obtained loan against property in Dec. 2017 from NBfc for starting new buissness and already paid 1600000 threw instalment but during lock down my buissness stucked down.but still I, m ready to pay principle amount after selling my property or some asserts can I got relief from interest of three year, can my paid intallment amount adjust in principle amount

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5 Replies

Sankaranarayanan (Advocate) 29 March 2021

You can approach your banker and explain the situation in details which you not paid the instalment but there is no exemption or waiver of interest on loan during the pandemic .

G.L.N. Prasad (Retired employee.) 30 March 2021

Everyone is aware that NBFCs are ruthless and advance amounts only after getting the loan secured with marketable security. You have to approach to NBFC for a settlement. Be assured that the paid installments must have been already adjusted to the principal amount, and during COVID, they can not charge you a penal rate. To me it appears that you are not coming out with full facts as you have borrowed in 2017, the Covid was from Mar,20 and yet you have paid only three installments and your account already became NPA and still, you are thinking of liquidating the loan.

Virender Singh 30 March 2021

I got a loan of 40lacs .I had already paid 16 lacs by 36 installment till Dec 2020 .lender increase interest rate from 10.5 to 12.5 without informing me. and still today my standing principle amount is near about 40lacs. I want to settle the amount but they are not ready to settle

G.L.N. Prasad (Retired employee.) 30 March 2021

This may be to circumvent the no collection of penal interest recovery during COVID and unless the change in such interest is communicated to the borrower in advance, this amounts to deficiency of service. I am afraid that there is also a mistake in the calculation of interest and first get a certified copy of the statement and let it verified through a Chartered Accountant or through google site (App for calculation of interest)

After getting such clarification/confirmation actually calculated, contact a local advocate and issue a notice for deficiency of service and even fraud. Also make a complaint to RBI if the interest was charged or the rate changed without intimation.

Hope the NBFC may come to terms if a certain deficiency is there in calculating such interest. Then file a pre-litigation petition for conciliation through Legal Services Authority.