Indian Bank Offers 6 Months Moratorium for Loan EMIs to Support RBI’s Move

State-run Indian Bank has announced to provide a 6-month moratorium to its customers. As per the COVID 19 regulatory package of RBI, the bank allows a moratorium by deferring EMI payment / Term Loan Instalments and Interest/ Interest on Working Capital for 6 months w.e.f 01.03.2020.

As per new update in RBI COVID–19 Regulatory Package, the bank has extended moratorium by 3 months on payment of EMI/ instalment/ interest from 01.06.2020 to 31.08.2020. Your loan accounts and credit card dues are payable from 01.09.2020.

Also Read: Indian Bank Moratorium Extension by 3 Months for Loan EMIs

FAQs

✅ Should the borrower give a request letter to the branch for availing the moratorium?

No. It will happen automatically.

✅ Will the bank itself stop deducting the EMI?

No, the customer will have to contact their branch for this.

✅ Will the 6 months accumulated interest be payable in working capital loans immediately after the relaxation period?

Yes. The interest accumulated during the moratorium will be payable immediately after the relaxation period ending on 31.08.2020.

✅ Will the accumulated EMI be payable together after 6 months?

No, the bank will extend your loan term for 6 months. For example, if your last EMI is to be paid in December 2020, then it will be payable in March 2021 with this relaxation.

✅ Is it necessary to avail the benefit of postponing the EMI?

No. It is not mandatory. You may continue to pay if you wish to.

✅ Will the interest for these 6 months be payable in one go after 6 months of relaxation?

No. The interest accumulated will be added to the remaining EMIs.

✅ For which type of loans is the moratorium applicable?

It is applicable for all Term Loans, including personal loans, home loans, auto loans, education loans, etc.

✅ Is the relaxation available for credit card payment?

Yes

✅ Is there any benefit for the farmers with this announcement?

Yes, a similar relaxation will be granted to them on Kisan Credit Card and agricultural term loans.