Get 6 Months Moratorium on Your Loans with COVID-19 Relief by PNB

Get 6 Months Moratorium on Your Loans with COVID-19 Relief by PNB

In the wake of coronavirus pandemic, the Punjab National Bank (PNB) is extending COVID-19 Relief to its customers to defer their instalments or interest falling due between 01.03.2020 to 31.08.2020 for 6 months. 

The relief is offered on Term Loans and Working Capital Limits. The repayment period of Term Loan is extended by 6 months.

The non-payment of EMIs for 6 months of the moratorium will not impact your credit history. Unlike salaried individuals, there are many people who do not have a regular cash flow. In fact, some salaried people might also face pay cuts or delayed salary payments or even layoffs due to the lockdown. Therefore this moratorium will benefit if they are facing the problem of liquidity as they can pay the bank or financial institution after 31 August.

However, the customer must be fully aware that this is not an EMI waiver, but a deferment of EMI. The repayment schedule, all subsequent due dates, and also the tenure for such loans will be deferred.


Lockdown and need Money for Emergency


According to the managing director & chief executive officer of PNB, Mallikarjuna Rao, the bank has sought extension of moratorium period on loans for small businesses from the RBI. The bank has also requested RBI to allow one-time restructuring of loans till March 31, 2021, on a case to case basis.

Please contact the customer care of PNB for further information.


✅ What relaxations are permitted by RBI on retail loans due to the COVID19 pandemic?

RBI has allowed rescheduling of payments for both Term Loans and Working Capital facilities.

✅ What are the facilities for Term Loan accounts?

As per RBI’s guidelines, the bank will grant a moratorium of 6 months for payments of all term loan EMIs falling due between 01.03.2020 and 31.08.2020.

✅ When are these instalments required to be paid?

Instalment due between 01.03.2020 and 31.08.2020 are required to be paid after the completion of the moratorium period.

✅ What will happen to the interest accrued during this period?

Interest will continue to accrue on the outstanding amount of the Term Loan during the said moratorium period.

✅ What relaxations are given by RBI for Cash Credit/ Overdraft facilities?

Banks can defer the recovery of interest applied on these accounts during the said period.

✅ When these interests have to be paid?

The accumulated interest will be recovered immediately after the moratorium period of 6 months is completed.

✅ Is the moratorium of EMI available on Retail Loans?


✅ Which loans are covered under the moratorium?

All Retail Loans, including home loans, personal loans, education loans, auto loans and any other loans having a fixed tenure.

✅ My EMI is due in a few days. Will the bank deduct from my account?

Borrowers can defer the EMI or continue to repay it as per their choice.

✅ Will non-payment of EMI during moratorium impact my credit score?


✅ Does the moratorium cover principal and interest both?

Yes. You are not required to pay your entire EMI (including principal and interest) for 6 months.

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