In support of RBI’s COVID 19-RBI Package, the Punjab & Sind Bank has announced the deferment of EMIs on loans taken from it. As a special dispensation, loan EMIs for the month of March, April, May, June, July and August 2020 will be deferred.
Customers who do not want to avail this deferment can send “No” through SMS to 8652634668 to opt out of the scheme. If the bank does not receive any message, your instalments will automatically be deferred for these 6 months and the repayment period of these loans will also get extended by 6 months.
All Term Loans (Agricultural, Retail, Crop and Cash Credit/Overdraft) are eligible for the benefits under this package. It is available to those accounts, which are Standard Assets as on 01.03.2020. The facility is available across the board to all the borrowers by extending repayment tenure of Term Loan instalments (including interest) by 6 months.
Yes, it’s applicable for all Term Loans.
The recovery of interest on Cash Credit/Overdraft on March, April, May, June, July and August 2020 will be deferred. However, the total accrued interest accumulated will become payable immediately after the completion of the 6-months moratorium period.
No. Under this relief package, the deferred instalments after 1st March 2020 will not be reported to Credit Bureaus or CRILC for 6 months and no penal interest/charges will be payable to the banks.
You will have to pay the interest for the deferred period.
The customer can contact their base branch to reassess their Working Capital requirements on disruption of their cash flows or elongation of the Working Capital Cycle.
No, the bank will not collect instalments as per the Standing Instructions or through existing NACH mandate unless stopped by the borrower. An SMS will be sent by the bank to the borrower. If they don’t want to continue the EMI payment, they must contact the base branch for the same.
The bank will refund the EMI already deducted through Standing Instruction/NACH/ECS for March 2020 to August 2020 if the customer makes a request at Base Branch.