Mumbai: The central government has now extended the lockdown till May 31. In such a situation, now the Reserve Bank of India (RBI) can also increase the moratorium for the next three months to repay the loan instalment. This has been mentioned in a research report released by the State Bank of India. In March itself, the RBI announced Moratorium for three months. Now once again the RBI can announce it for the next three months.
Lockdown was extended on Sunday
The National Disaster Management Authority (NDMA) on Sunday reduced lockdown 4.0 to 31 May due to Coronavirus. The Prime Minister first announced the first lockdown on 24 March. It was for 21 days, after which it was extended till 3 May and then later on 17 May. In March itself, the RBI announced Moratorium for three months. This was in force from 1 March 2020 to 31 May 2020. Now that the lockdown has been extended till 31 May, in such a situation the RBI can also soon announce the increase of moratorium.
You will get an exemption from loan instalment by August
If the RBI makes such an announcement, then people will get a discount till 31 August 2020 in depositing the loan instalment. However, people will have to pay interest even if they do not pay the instalment for so many days because RBI has not forbidden any bank from taking an interest at present.
CIBIL score will be spoiled by depositing instalment
Right now many people are not depositing due to loan instalment and exemption from interest deposit. According to the rules currently, if a person or company does not repay the loan for 90 consecutive days, then its account is NPA. This has a bad effect on the said person or the company’s CIBIL score.