When A Borrower Fails To Repay The Loan!

By Bank Bazaar | June 23, 2016

When A Borrower Fails To Repay The Loan!

Many of us have taken loans to finance some of life’s major events: buying the family car, becoming home owners, marrying off a family member, or paying for a medical emergency.

Taking a loan helps us circumvent our lack of large sums of liquid cash. And, we pay back the loan with interest, in EMIs.

Sometimes, because of circumstances beyond our control, we are unable to repay our debts in a timely manner. Inability to repay a loan for a prolonged period leads to the deterioration of the relationship between the borrower and the lender. This is usually a bank or a Non-banking Financial Company (NBFC). Such a situation needs active management.

Money owed should be repaid eventually, but let’s take a look at your rights as a loan defaulter, and how you can set the situation right.

The Repercussion of Default

There are two major repercussions of failing to repay your debts.

The first one is that your Credit Score will take a beating. All credit-related information of loan owners and Credit Card users is sent to CIBIL and other credit rating agencies. They know your credit history, end to end. Every loan application today requires a reading of your Credit Score. Your application is approved only if your Credit Score is found favourable. If you default on your payments, your credit rating will go down. This will make taking loans in the future difficult, if not impossible.

Second, the property which was used as collateral for the loan can be repossessed and later auctioned by the lender after following due legal process.

You are Given the Benefit of the Doubt

All borrowers are provided the opportunity and have the right to approach the bank if there is any difficulty in repaying the instalments and to choose an option to restructure their debt to enable a smooth repayment process.

Preliminary notices are sent to the borrower mentioning the amount overdue with interest and penal interest. If the bank has reason to believe that the customer is wilfully delaying the repayment, or if the customer has not come forward with a definite plan of action to repay the dues, the bank can opt for legal proceedings. If there is a guarantor, the bank might approach him, as according to the guarantor agreement, he is supposed to pay the loan when the applicant defaults.

The follow up from the bank will start as soon as a single repayment is missed. But, further proceedings depend upon the customer’s approach to the issue and his current circumstances. The legal procedures will definitely not emerge out of the blue, it is a process resorted to if initial measures do not yield results.

There are situations like death, ill-health or accidents that can unintentionally break the repayment schedule. In such cases, banks will give justifiable holidays to the customer or his family.

The Reserve Bank of India’s guidelines say that banks should give reasonable time to pay up and also forbids using ‘muscle power’ to recover loans. There is a laid down code of conduct which banks need to adhere to.

Steps to Take

There must be reason why you haven’t paid your EMIs for a few months. You may have lost your job; you may have had an emergency which consumed all your savings; you may have paid a huge amount on your education, for your home, or some other urgent requirement.

Whatever may be the reason, if you’re unable to make your payments, you could consider one of these many options.

1. Defer your payments: You could inform the bank of your inability to temporarily make payments and seek an EMI holiday for a few months. A situation of this nature can occur during a job change or a temporary loss of business or employment. Banks can accept these as genuine reasons but may impose penalties for the deferment.

2. Reducing your EMI: If you are struggling with the EMI amount, consider having the monthly outgo reduced. You can approach the lending institution and request them to increase your loan tenure. This would reduce your monthly EMI amount though you may end up paying a higher amount in interest. Once your financial situation is sturdier, you should increase the EMI amount again.

3. Restructuring the loan: If a borrower is unable to maintain the terms and conditions of his loan, he can request the lender to relax the same. This may lead to reduction of charges, lowering of interest rate, lengthening of the loan tenure, moratorium on interest, etc.

4. One-time settlement: This option is usually exercised when a borrower is unable to repay his loan to the extent that his interest accrued is larger than the principal amount. The lending institution would have already classified the loan as a non-performing asset (NPA) at this stage. The borrower may be bankrupt or in no position to make further payments. He may get the option to settle the loan through a small payment. Recently, a bank offered a settlement offer to its NPAs in the education loan sector, in which up to 90% of the principal and 100% of the interest were waived off. But, exercise due caution accepting this offer: your credit report will reflect the fact that you could not repay your loan fully, and therefore your Credit Score will be affected.

Getting Back to Financial Health

Analyse your situation and have a realistic estimate for when you can restart paying your loan. Treat this as priority. It is human tendency to start avoiding calls and messages from the bank. Do not do this. Inform the bank as soon as you can about any change in your circumstances that prevents you from paying them.

Work with the bank and work out a time-frame for your repayment. If your reasons for not paying up are genuine, the banks usually give you leeway.

If possible, try to get your friends and family to arrange for a few EMIs. This will give you some breathing space while you focus on finding a long-term solution to your financial problem.

Finally, control your expenses and prioritise between essential and non-essential spending. Minimize eating outside, going to the movies, making impulsive purchases, and other discretionary expenses. These little savings will add up to a bigger sum that will get you closer to repaying your debt.

Remember that repaying the bank to the full extent of your dues is not only your legal responsibility but also a moral obligation. You can seek ways of easing the situation temporarily but ensure that you finally clear all dues and not let your creditworthiness be harmed.

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151 thoughts on “When A Borrower Fails To Repay The Loan!

  1. kesariya

    can u guide what will happen if default is made on personal loan availed abroad (eg middle east country).
    what are the customers rights in such case??. if the customer is out of job and returned to india.

    Reply
  2. NISHANT

    I HAVE A SIMILAR QUESTION THAT IF A PERSON HAD A CREDIT CARD ABROAD ( SAY DUBAI ) AND RETURNED BACK TO INDIA… THE CREDIT CARD IS UNPAID AND OUTSTANDING IS THERE AND IF THE CUSTOMER IS OUT OF THE JOB AND ALSO OUT OF THE COUNTRY SICNE LAST 3YEARS THEN ??

    Reply
  3. Shailesh Pandey

    If a borrower was take a Gold loan from bank and In. Future borrower Will not pay back to lender or bank. Then what are the legal action taken by the bank ?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Shailesh,
      Thanks for writing to us. In case a borrower defaults on his gold loan, the gold that is given as collateral by the borrower will be sold by the bank. However, banks usually give notices to the borrower before selling the gold. We hope that answered your question.

      Cheers,
      Team BankBazaar

      Reply
      1. Shailesh Pandey

        Thanks for answer.And one more question, I want to ask That, How many types of Gold loan are available in banks ? Mostly in SBI.

        Reply
        1. Team BankBazaarTeam BankBazaar

          Hi Shailesh Pandey,

          Thanks for writing to us. You will need to get in touch with SBI for more information about their Gold Loan. If you’d like to check your eligibility for the SBI Gold Loan, click here.

          Cheers,
          Team BankBazaar

          Reply
    2. Sateesh Kumar Goyal

      kindly guide, I have availed a Mobile (Finance) from Home Credit (finacial company) for 10 months and have paid 7 emi out of 10 emi. But i have lost my job and not able to run my family so last 3 emi’s are balance totaling 4299/- and after penalty and other charges they are now asking for 6299/- I clear all the due payment with penalty & Other charges & teke Closer letter and other doc. only after 2 months of lone expiry date. After some days, i am apply to a MNC Company for Job but i am aware that my CIBIL score will be effected, kindly suggest how to improve the score in futare.

      Reply
  4. Rahul Ahmed

    Main SBI se ek KVIC project ka loan liya tha 3 instalments dene k bad mera accident hua tha..aur ilaj k bahut money ka jarurat tha isliy me loan repayments nahi de paya..ab 3 sal ho gaya h ab bank presure de raha h..ab kya hoga??? Plz help me

    Reply
  5. Harsh

    hi

    kindly guide i have availed a car loan from AU financiers for 48 months and have paid 33 emi out of 48 and 15 emi’s are balance totaling 108000/- and after penalty and other charges they are now asking for 2.47 lac i had offer them to close the same qt 1.7 lac but person is not cooperating at all he is saying once the same is gone in chronic we cant give discount.

    the person has took the car Stating he will cooperate and agreed to settle the same in 1.80 lac but Now when i have arranged the Money he is refusing from his words and asking me to pay the entire amount.

    he has even disclosed the about Non payment issuse in My Society when he came to seize the car and created a scence at my Society when i was not present at home my mom was there and was taking vehicle by towing so My mother had given the car keys so that car Should not Be damaged.

    kindly suggest what should be my course of action further

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Harsh,
      Thanks for writing to us. Check your loan documents to know what repercussions for non-repayment of loan are. You must ensure that the financier is following these rules. If not, you could consider legal action. It is always best to have a discussion with your financier to settle things amicably.

      Cheers,
      Team BankBazaar

      Reply
  6. satish

    Helo frnd i have taken a car loan from SBI Bank due to some problems i dint pay my car EMI 2months the bank people came and seized by car . Kindly help me frnds how to get back my car

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Satish,
      When you take a Car Loan, the car gets hypothecated to the bank. Check the terms of your Car Loan and to find out what the contract says about non-payment of you EMIs. Talk to your bank to reach an amicable settlement to get your car back. You can read this article for more information about this- What to look for in a Car Loan agreement.

      Cheers,
      Team BankBazaar

      Reply
  7. kumar

    how to get back of gold in gold loan after borrower gone to aboard. But gold owner ready close the loan.the letter email sent to bank is enough for redemption of gold to third party.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Kumar,

      The best way to find out is to approach the lender and ask them the procedure.

      Thanks,
      Team BankBazaar

      Reply
  8. kumar

    how to get back of gold in gold loan after borrower gone to aboard. But gold owner ready close the loan.borrower from aboard can sent the letter email sent to bank is enough for redemption of gold to third party.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Kumar,
      Thanks for writing to us. You can get back your gold (that was used as collateral for the gold loan) only if the total loan is repaid. If the loan has been totally repaid and the lending institution has sent the closure letter, the institution has to return the gold to the borrower.

      Cheers,
      Team BankBazaar

      Reply
  9. rockey

    HI Sir,

    I have took a personal loan of 4 lacs(topup) last year sept, froml 3 months my emi is due and i can clear all the due only after another 2 months( i can pay all 5 emi’s together) and bank people is tourting me like anything. till how many month the EMI can be due before they goes for legal action. please help me with this.

    Thanks

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Rockey,
      Thanks for writing to us. Banks generally use legal action as a last resort. Please ask your bank for a time extension to repay your loan. Write a letter to the Head Office of your bank explaining your situation and your intention to repay the loan. If there is no positive response, tell them that you might have to file a petition in the High Court and file the same. Generally, the court permits such borrowers to repay the loan at a lower interest rate. However, it might be best to reach an agreement with your bank.

      Cheers,
      Team BankBazaar

      Reply
  10. jai

    Dear Sir I am dealer I supply. Good to customer finance by bank so we simple agreement bank demand that I. Shall stand guarantee for each n every case for all 200 cases n but I never sign any form of customers but still bank demandg all cases loan amount who hve defaulted that amounts 18 lac so all 20 cases different orders are join n demanding 18 lack do u think its fair they leaving all real guarantor after me just bcox for them easy to get funds frm me so please help n guide me

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Jai,
      Thanks for writing to us. Unless you are a legal guarantor, you have nothing to worry about. Contact your legal counsel for further assistance.

      Cheers,
      Team BankBazaar

      Reply
  11. Nitish kumar

    Hi sir, My father taken was a Govt. Employee.and he had taken many personal loans .Unfortunately he is now deceased.and bank make pressure on Me to deposit money.sir I want to compromise loan. Please guide me.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Nitish,

      Thanks for writing to us. You will need to get legal advice regarding this. Generally, a son’s personal assets cannot be used by the Bank to recover a loan taken by the father. However, the assets of the father could be used. Please get legal counsel to understand whether you are liable to pay your father’s debt.

      Team BankBazaar

      Reply
      1. Bhushan

        I frind also having same qtion, his father was taken loan and some reason he not pad amount and now he don’t have his own property, but my friend have his own property. What will be bank do? Is it bank will taken legal process on my friend property.

        Reply
        1. Team BankBazaarTeam BankBazaar

          Hi Bhushan,

          As far as we know, banks cannot attach a son’s personal property if the father is the debtor. We suggest that you get legal counsel to sort out this matter.

          Reply
  12. piyush shukla

    Dear sir.maine 2011me bike loan lia tha.jo ki 3sal k liye tha.2014tak.maine sari paymnt bnk ko kari last ki 5balance thi.jisme 3ka paymnt bnk agent ne ghar se lia..or uski recieving ghr per nhi di.me bhi apne kam pe lg gya or bhul gya.aaj 2saal baad bnk mjhe ek advocte ki notice bheji jisme 28000rs recvry k liye kb rhe..jisme 5emi or baki chge ms add kr rhe..plz help me…

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Piyush,

      Thanks for your valuable feedback. You need to pay your EMI as net transfer or cheque to your loan account. EMIs are not ordinarily collected in the form of cash and it is essential to have some form of proof of payment. If you have given cash to a bank employee, talk to your bank about this and try to identify the employee, if possible.

      Team BankBazaar

      Reply
  13. Palas Bhandari

    Hi sir
    I have a sbi credit card and there is a due amount 65,000 i have lost my job and not able to run my family
    Bank threat me to pay the amount. So what should i do??
    Pls guide me

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Palas,

      Talk to your bank and explain your situation. Work towards a settlement. If the local branch is not willing to listen, write to the headquarters with all your details. Usually banks understand situations like this and try to turn things around in the best possible manner. If nothing works out, get legal advice.

      Team BankBazaar

      Reply
  14. Madhu

    If a person who has borrowed loan for 60month tenure and he paid loan 30 months he skips 31st, 32 nd loan repayment and expires and his family members repays principal of loan on 36th month and request to waived off interest for bank but bank didn’t consider this request. So is there any way to approach bank to waive off interest since we have done one time principal settlement.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Madhu,

      Usually banks take this up on a case-to-case basis. You can give a written request to your bank to consider your situation. You can also talk to the nodal officer of the bank to see if he/she could convince the bank officials at the branch where you are transacting to consider your case. But note that this is totally at the discretion of the bank.

      Cheers,
      Team BankBazaar

      Reply
  15. soumya

    in case of recovery case or suit can bank impose penal interest?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Soumya,

      It is possible for a bank to ask a defaulter to pay a penal interest amount. However, this is totally at the discretion of the bank and will differ from case to case.

      Cheers,
      Team BankBazaar

      Reply
  16. Eshwar Raj

    My mum name is Dr. M. Krishnaveni, Assistant professor in Government arts college, Tiruvannamalai, Tamilnadu. She was brutally murdered on april 26, 2016. The case is under SC and ST atrocity act. Car loan and personal loan in SBI Tiruvannamalai branch are in pending which are under my mum name. There is no insurance coverage for those loans. Is there any chance to cancel those loan.?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Eshwar,

      Sorry to hear about that. You will need to talk to your bank to see if the loans can be cancelled.

      Team BankBazaar

      Reply
  17. ashok sharma

    sir, i had guaranteed for a personal loan to one of my co-workers.he repaid half of the borrowed amount. now he is absent in the office due to some family matters so he is not getting salary and is not repaying his installment. he is on a long leave and intends to repay. but the bank has freezed my account without giving me any notice about it. being a guaranter what should i do.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Ashok,

      Unfortunately, you are responsible for repaying the loan if the borrower defaults. But the bank has to send a legal notice to you and the borrower. You can, of course, contact your legal counsel for help wherein some arrangement/settlement with the borrower can be made.

      Team BankBazaar

      Reply
  18. Narendra singh

    Hi,
    I have some questions about personal loan my friend has a personal loan and he is paying smoothly since 1 and 1/2 yr but unfortunately he has passed away before 2 months and his family he has 2 children and house wife so my question is that is his wife responsible for his personal loan or not. Because bank calls are coming on his number & this time his family already very depressed & when bank call come then they are scared, so kindly suggest me what I need to do for his family.

    Thanks

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Narendra,

      It is best for the family of your friend to contact the bank and explain their financial situation. Most banks are sensitive towards emergencies and might agree to accept a one-time settlement.

      Cheers,
      Team BankBazaar

      Reply
  19. Raguveer

    I have took Axis bank loan (2 lacks pending and 6 EMI missed) but due to business loss I can’t able to pay few more EMI’s. They told they will take legal action soon. What is legal action and how to deal with bank now. Please let me know on this. Thank you.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Raguveer,

      In a situation like this, it might help to tell the bank about the business loss you are facing. Speak with the bank and see if they will agree to a one-time settlement. Explain your financial situation to them. If nothing works, contact your legal counsel for help.

      Team BankBazaar

      Reply
  20. Rohit Jain

    Hi Bank Bazaar,

    i have taken personal loan for 3lac and 60nos of EMI from hdfc bank, after paying 2 EMI, and my home loan EMI start for 8k per month and i am not able to pay both EMIs. so can in request to HDFC bank they charged me quarterly only interest for 2 years. then i able to pay the EMI i will start the pay EMI. Please guide me.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Rohit,

      Banks usually negotiate terms of a loan only under extraordinary circumstances such as a job loss. It is unlikely that a bank will agree to change the terms just because a customer has taken another loan. You can, however, approach your bank and check if they will consider your request.

      Cheers,
      Team BankBazaar

      Reply
  21. Abhishek

    Hi,
    I have taken a personal loan in 2014 for 750000 from HDFC bank. 6 months back I lost my job but still I have paid all the EMIs on time but now facing difficulty in making the payments. Is there any chances of settlement in Personal loan. What is the procedure and how it will be done. Kindly advice. As I am aware that my CIBIL score will be effected, kindly suggest how to improve the score in future.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Abhishek,

      Talk to your bank and explain your situation. They might agree to a one-time settlement or you can work out a deferred payment plan with them. Here are a few Tips To Improve Your Credit Score.

      Cheers,
      Team BankBazaar

      Reply
  22. gaurav

    Dear Team,

    I am Gaurav from mohali, my father taken the housing loan (15lac} from governement bank and car loan(5 lac) from hdfc but he is passed away . i contact with both the bank and talk about this incident . and asking them that what is the solution now because i am the only earning member in my family and i cant afford this EMIS , i also asking them that please reschedule the loan or one time settlement but they both are not agree with this. yesterday i visited HDFC bank and told them pls give me some solution they straight told me that their is no solution in this you have to pay the EMI . i also tell them that please give me the permission to use the car for commercial purpose as taxi services and what earning i earn for this i can pay your installment but they dont agree with that please help me . what is the right way and please tell me the legal council.

    regards.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Gaurav,

      Try writing to the headquarters of both the banks. If they still do not respond, then get legal help. In all likelihood, once you have legal help, you will be able to negotiate better with the banks.


      Team BankBazaar

      Reply
  23. Birendra

    I am from Bankura , my friend take personal loan from BDCC bank. Now he was recently change his service and also salary account. I am a witness of bank but not a grantor . My question is here, if he failed to repay the outstanding loan amount then I will responsible to the bank or not?
    Regards ….

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Birendra,

      If you are the guarantor for your friend’s loan, then you will be responsible if your friend doesn’t repay the loan. If you didn’t sign any papers during the sanctioning of the loan then the bank will not approach you for any payments.

      Cheers,
      Team BankBazaar

      Reply
  24. sonal

    Hello sir
    my husband had taken unsecured business loan from 10 different banks in last few years where pending amt is arround 70 lakhs…now our business is in loss…we are not able to earn anything..we are closing our business….our 3 emi have been pendig so technically we are NPA…sir we will not be able to pay settlement amt as my hubby is without work…we live in inlaws house….what bank can take action…is it possible that bank will take my father in laws property. ..my husband dont have any property except one car which is also on loan..sir my husband had this loss bcoz one of the party cheated us and didnt made payment and therefore my husband filed a case against that party…can this be help….

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Sonal,

      It might not be possible for a bank to use a non-guarantor’s assets to settle a loan. Talk to the banks to try and work out a solution. You can also get legal counsel to see if there is a way out.


      Team BankBazaar

      Reply
  25. Ashvin Bhanderi

    Hello sir.. I had taken car loan on second hand car from finance company. At that time insurance policy was in the name of seller. Later registration copy was done in my name name and insurance policy was in the name of seller. Nw my my car had met with accident. There is damage of 3 lac and now insurance company is refusing to pay claim because car insurance I had not transfered. I am not paying emi since last 2 months. Whether finance company can claim for default made and I will not pay loan because car is almost damaged

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Ashvin,

      Sorry to hear about your situation. The finance company might claim the vehicle if you do not repay your loan. Not paying your loan EMIs will also affect your Credit Score.


      Team BankBazaar

      Reply
  26. rahul

    Respected sir,
    I have taken 2,16000 education loan for hotel management course after course I was paying my loan intrest every month but suddenly my mother belongs to dispersion problem and my father is a heart patient. I can explain you better on call please sir I really need for ur help please call on 9418801822 on 29th sep 2016 at 10am because I got a call from bank. Please call me sir please call me on 29 sep 2016 at 10 am..

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Rahul,

      If you are having trouble repaying your loan, we suggest that you talk to your bank and request them to restructure the loan. This can be done by increasing the loan tenure or by requesting for a one-time settlement. It will be best to contact your bank in order to sort this out.

      Cheers,
      Team BankBazaar

      Reply
  27. viwaan

    Hi , my self is. Viwaan
    Maine bank se PL liya but unfortunately business me almost sab kuch lost ho gya . Or meri half aesi h k ab mai bank loan refund nhi krskta to ab mai Kya kru.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Viwaan,

      Talk to your bank and explain your situation. Work towards a settlement. If the local branch is not willing to listen, write to the headquarters with all your details. Usually, banks understand such situations and try to turn things around in the best possible manner. If nothing works out, get legal advice.

      Cheers,
      Team BankBazaar

      Reply
  28. Arun

    Hi,

    I took a loan from Kotak and every month deduction use to happen. I changed my company and Bank . Few months back, I received a message : If salary is not maintained, maintenance charge will be taken. I approached Kotak bank, they asked me to get 2 check leaf of HDFC and they will change to ECS (Not sure with the name). Next Satrday, they were like “they can ‘t do anything from here, I need to go to Kotak house. Another Saturday, i went to Kotak house: They said, they can’t do anything either I can close or go for ECS. Later I got frustrated and ignored everything. yesterday, on transferring the amount to my Kotak Salary account, I see 1300 has been charged. On asking these Kotak people were like I need to maintain 10k and they will refund the amount but they didn’t tell me about NOVA account where I just need to maintain 5k. So i have decided not to pay the Loan amount untill I get my money refunded. Could you please help me in this situation.

    1. What will happen, If I won’t pay the loan?
    2. I have approached these guys many times, but no proper suggestion (I asked them I can close the remaining loan amount using my HDFC credit card : no proper response)

    I have tried all possible way to ask them to help me but no proper suggestion. It will be great, If you could help me with the steps which I need to take forward.

    Reply
    1. Team BankBazaar

      Dear Arun, When you change your company and salary doesn’t get credited to the account, the bank converts it into a savings account where you need to maintain a minimum balance. This might be the reason why charges have been levied. If you don’t pay your loan, it will affect your Credit Score and might also result in late payment fees. If you were not intimated regarding the conversion of your salary account to savings account, we suggest you talk to Kotak regarding the same and ask them to reverse the charges. You can even write to their headquarters. As a last resort, you could approach the Banking Ombudsman.

      Cheers,
      Team BankBazaar

      Reply
  29. laxman Parmar

    Hello,
    Good day sir,
    I want you your help please let me now ASAP.
    I have took personal loan from bank Rupees 16,000.00 and i have already paid some installment like 10 means ( 950 x 10) = 9500 and after that i have no job and situation is very bad .
    Now i am working in abroad and bank people contact me and they had told me you paid rupess 25,000 otherwise i will complain in police station and cancelled your visa.
    So please let me know ASAP by email

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Laxman,

      Please talk to your bank and work out a settlement with them. Explain your situation and either ask for more time to pay off the outstanding amount or negotiate a one-time settlement with them.

      Cheers,
      Team BankBazaar

      Reply
  30. dipu

    dear sir if i can.t pay my presonal loan payment what take action bank may i know sir

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Dipu,

      Banks will try to check if they can recover the money from you. If not, you might receive a court notice askign you to pay the money. Also, your Credit Score will take hit if you do not repay your loan.

      Cheers,
      Team BankBazaar

      Reply
  31. Rakesh

    Hi Team,

    What if I am not able to repay the loan against property I took 3 years back.

    What will happen in this case?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Dear Rakesh,

      Banks will try to check if they can recover the money from you. If not, you might receive a court notice asking you to pay the money. Your Credit Score will take a hit if you do not repay your loan and this could affect your chances of getting another loan or Credit Card in the future.

      Cheers,
      Team BankBazaar

      Reply
  32. Prem Jhaveri

    Hi,

    I took home loan from DHFL in Nov’2015 which started defaulting from Apr’2016 due to Marital dispute where my spouse said that she will not let go the property and will take care of EMI’s I’ve moved out of property she resides there. however she has not paid single EMI till date, I approached DHFL with my situation they said earlier that they will repossessed my property per legal process.
    NOTE: property is on joint name and in loan i’m applicant and my wife is co-applicant:

    Question:
    1) When I approached bank that i’m ready to surrender my property from my just to save my CIBIL record they said they can’t do anything with that. Do I stand a chance to get out the situation without going legal
    2) Recently one of the recovery agent said that they will deduct EMI directly from my salary (Can they really do that?). which I DO NOT want because i’m on rent with my parents cannot survive with half salary. Is there any way I can stop bank from taking EMI directly from my salary?

    Please advise!!!

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Prem,

      While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. We would love to help but due to the specific nature of your question, we suggest that you get legal counsel to sort this out.

      Cheers,
      Team BankBazaar

      Reply
  33. Venkat P

    Hi Team,
    Once we opt for settlement and pay on home loan, once its paid still CIBIL score will affect even after bank issues no due certificate?

    Thanks
    Venkat

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Venkat,

      Once the loan is closed, it will have no impact on your Credit Score.

      Cheers,
      Team BankBazaar

      Reply
  34. Neeta

    Hello Team,

    My name is neeta, I had purchased car from Magma finance. Due to some issue i couldn’t pay EMI for 4-5 months hence they seized my car and sold in auction. They sold the car for 5.20 lack and my outstanding was 3 lacs. in this case i am eligible to get 2 lac refund as loan outstanding was of only 3 lacs

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Neeta,

      Thanks for writing to us. If the car is sold off at a higher price than the money owed by you to the lender/bank, you will be reimbursed with the surplus amount. It’s best to talk to your bank about it. For more information please check your loan documents.

      Cheers,
      Team BankBazaar

      Reply
  35. ajay singh

    i have taken a commercial vehicle loan from sbi kolkata in 2010 . when they deliver the vehicle(force moter price 2.84 lac)(loan amount is 2.34lac )on 2nd day the clutch plate was damaged after that we have lots of issue with the vehicle 1st 2 months i pay the EMI (7000+7000) after that whatever i earned i have to spend for repaired . i complain about to the bank . the bank manger said just pay RS500-1000 every month and keep that vehicle. also i told them i am not able to manage and to run this vehicle i taken lots of loan from my relatives and others but i could’t able to run that business. after 2 years i left that and join a job so i can manage my family in banglor. when i came back i went to bank they said we can’t do anything your case is transfer to recovery branch then i went there to. they said now you have to pay the loan and thread me. again i went to bank after few months and i asked them to take my vehicle because i can’t pay the loan they taken the vehicle.after that i thought they will not do anything .so i plan for my future and i started saving some money in sbi RD . when it got maturity date they put on hold on that money(amount Rs 125000 in 3 years ) and they are not relishing the money. again i went to bank they said we put on hold and you have to pay the rest of amount. now i am totally blank i don’t have any money any saving)
    now PLEASE HELP ME SIR. WHAT TO DO?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Ajay, We suggest that you get legal counsel to understand how you can recover your money. Even if the bank has seized the vehicle, they might have the right to put on a lien on your account until the loan is recovered.

      Cheers,
      BankBazaar

      Reply
  36. Pravin

    My father had personal loan upto 7 lakhs. He didn’t left any assets. Now is any problem for pf insurance amount and our personal belongings at the court?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Pravin, As far as we know, other than assets, banks cannot attach any other belongings to debts. We suggest getting legal help to get a better idea of how to deal with this.

      Cheers,
      Team BankBazaar

      Reply
  37. Ragav

    Hi Bank Bazaar,
    I have took Educational loan in XYZ bank in 2009. I was irregular or never paid my interest. In the Mid 0f 2016; Particular Bank approached me to repay my loan as one time settlement.#They Insisted to do so, as my name is in willful defaulters list# Actually i have a plan to take a Home loan. so, I have given a nod to them and through OTS I settled my loans. I never knew this process would have a impact on my cibil scores. out of curiosity i checked my cibil scores, which cibil replied that”we would like to inform you that cibil maintains credit data of individuals as submitted by credit institutions. based on the info provided by you, we are unable locate your information in our records. Later I approached Bank to enquire regarding OTS and how it will affect my cibil score. They Have checked in my records and replied that “form 24 and aadhar card docs ain’t available in your records. hoping so it wont affect your cibil score”. This is my Situation Pls help. Also shed the lights on ,How cibil traces the pipeline of the credit history oa an individual?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Ragav,

      CIBIL reports have your name, date of birth, address, and identification numbers( like PAN, passport number, voters number and telephone number) as reported by member banks and credit institutions. They usually identify an individual using one of the IDs that you might have given to the bank. Try providing CIBIL with your PAN and check if they have corresponding report for that ID.

      Cheers,
      Team BankBazaar

      Reply
  38. Karri Chandrasekhar

    Is it possible to request for a write-off of a home loan, whose tenure is varying (due to floating rate of interest) and amounts to over 30+ years ?

    If so, what are the required steps / process to go ahead with such a loan-write-off request in case of private corporate banks (such as ICICI Bank / HDFC Bank etc) ? If this is not possible, what is the maximum duration that one can get as an EMI holiday ?

    This is needed as my job’s / career’s nature is volatile and becoming a defaulter for more than 3 months or so is quite possible. In such cases, at least a minimum of 3 -6 months as EMI holiday should be offered. Please suggest / advice.

    Thanks and regards,
    Chandrasekhar Karri

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Karri,

      You can speak to your bank regarding your situation. Banks usually understand and provide relief in terms of an EMI holiday or one-time settlement. The amount of EMI holiday will be at the discretion of the bank.

      Cheers,
      Team BankBazaar

      Reply
  39. Kumar Omnath

    Hi,
    I have taken education loan of Rs 400000 lakh. I started repaying after 2year & till now i pay approx 1lakh 50 thousnad.
    but still my loan show approx 4lakh. i want to settle down my loan. but bank told me that norms cant be changed & if you not give i will take ligal action but seriously i dont have money. settle amount i have to take with my relative.what should i do.
    Please suggest me

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Kumar, If you want to make a one-time settlement for your loan, talk to your bank about it. Defaulting on your loan will affect your Credit Score. If you are unable to pay the EMI, speak to your bank and see if the EMI can be reduced by increasing the tenure of the loan.

      Reply
  40. Parag Rane

    Someone has done fraud of 33 lacs with me and flew away with my purchased car. After paying 6 EMIs (HDFC bank), I am completely bankrupt. Now after this amath, I took a gold loan from the same bank due to medical emergency, however, after the EMI default for auto loan, HDFC gave me an option to pay the gold loan EMIs to dummy account of HDFC bank which I have paid in full. After two years and now near to its maturity when I’m trying to repay the GOLD loan in full, HDFC bank creating a more mess by not releasing the gold. They are saying first surrender the car or pay the money of auto loan and then release the gold. Please help me. What should I do? Please suggest me.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Parag, While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. We would love to help but due to the specific nature of your question, we suggest that you get legal counsel to sort this out.

      Reply
  41. Prakruthi

    Hi,
    My Husband is a business man. He took a personal loan of 10 lacks from Citi bank in the Nov 2015. He is paying 25 thousand per month as EMI. In Oct 2016, we got acute Brain Stroke and hospitalized. A part of his brain was damaged and his memory power and thinking power has drastically lowered. He is now not in a position to run his business and planning to shut down. I am a private employee and I am earning 20000 per month. We are now facing financial crisis. He has paid his EMI for Nov 2016 very difficulty. He is not in a position to continue EMI payments. Do he have any exceptions. Can his loan amount be waved off. Please suggest alternatives.

    Reply
  42. Firoz

    Hi,
    My brother has availed crane loan and now he is unable to pay emu from 7-8 months. One emi is approx 60000 thousand, now the Finance company send notice for Rs. 50000 amount and searching for crane to recover.
    I am requesting you please advice in such case. Even if handover the vehicle they will sell in auction but still they won’t get complete money.
    Please advise.

    Thanks,
    Firoz

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Firoz, You could try talking to the bank and explain your situation to them. See if they will be willing to extend the tenure of the loan and reduce the EMIs. You could also consider getting legal cousel to help you sort this out. We would like to help you further, however, we only provide general tips and information on personal finance and do not provide guidance on specific queries. Cheers, Team BankBazaar

      Reply
  43. Kumar

    Hi , I have taken a two wheeler loan from hdfc bank and the vehicle is in a police case now and they ceased it in the court , now please suggest me wat can I do ..

    Reply
    1. Team BankBazaar

      Hi Kumar, While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. We suggest that you get legal counsel to sort out this issue.

      Reply
  44. Prakruthi

    Hi,
    Plz advise…
    My Husband is a business man. He took a personal loan of 10 lacks from Citi bank in the Nov 2015. He is paying 25 thousand per month as EMI. In Oct 2016, we got acute Brain Stroke and hospitalized. A part of his brain was damaged and his memory power and thinking power has drastically lowered. He is now not in a position to run his business and planning to shut down. I am a private employee and I am earning 20000 per month. We are now facing financial crisis. He has paid his EMI for Nov 2016 very difficulty. He is not in a position to continue EMI payments. Do he have any exceptions. Can his loan amount be waved off. Please suggest alternatives.

    Reply
    1. Team BankBazaar

      Hi Prakruthi, We’re extremely sorry to hear about your husband’s situation. Please get in touch with your bank and explain your current financial situation to them. It is possible that they’ll suggest an easier repayment plan that suits your financial situation. Cheers, Team BankBazaar

      Reply
  45. Krishna

    Hi Sir,

    I took a personal loan from ICICI in 2006, I paid half of the loan until 2009 when I lost my job. This was good 7 years ago. I could not pay the remaining loan.

    Now when I see my CIBIL report, I see that it i still showing as outstanding since 900 days. Why is the ICICI bank cheating in my CIBIL report, they are supposed to write off the loan as per NPA norms ( they can still try to recover though).

    How do I report this to CIBIL that it is not outstanding since 900 days but outstanding since 7 years and this should have been written off.

    I know why ICICI is keeping them on CIBIL report, only to harass people.

    Please guide me how to approach. Can I approach Consumer Court for harassment as they did not follow NPA norms?

    Reply
    1. Team BankBazaar

      Hi Krishna, Until the loan is settled, the loan will appear on your CIBIL report as a ‘default’. If you are working now, you might need to repay the loan to get it off your CIBIL report. Writing off an NPA is done by banks as a balance sheet cleaning exercise and is not mandatory. Once the loans are recovered, they need to show those on their profit and loss account. For more clarity, please get in touch with a Chartered Accountant.

      Reply
  46. Yogesh

    Hi There,

    I have take a personal loan from HDFC and i have paid more then 36 EMI’s to the bank from last 1yr i job less and couldn’t pay the emi’s now they are threatened me that we will seal your property as i told them i don’t have any property under my name they said we will take your parent’s house , Is it possible? Also can i get a loan with the 550 cibil score .

    Thanks,
    Yogesh

    Reply
    1. Team BankBazaar

      Hi Yogesh, It is not possible for banks to attach property that doesn’t belong to the borrower. Your loan applications might get rejected because you have a low Credit Score. We suggest that you speak with a bank that you already have a relationship with, to find out if they will grant you a loan. Also, try speaking with HDFC bank and check if they will increase your loan tenure so that the EMIs are reduced.

      Reply
  47. nyd

    HI,

    My mother had home loan of 22 lakhs where i am co-applicant for the same ,unfortunately my mother died & i am not in a position to repay that huge amount to the bank .so i have some queries regarding this
    1. why bank dint approach us for the insurance ?? during the initial stage
    2.can bank waive off mothers borrowed amount( rest i am the co-applicant so i will pay the balance amount)
    3.if not waive off can they give some reduction in (interest,loan amount etc)

    kindly assist me in this

    regards
    anonymous

    Reply
    1. Team BankBazaar

      Hi NYD, You can speak to your bank and explain your situation. Banks do consider such requests. They could either reduce the EMI or provide a tenure extension or do both. We are not sure whether the loan amount can be written off. You will need to speak to your bank for more clarity on this. Cheers, Team BankBazaar

      Reply
  48. John Albert

    Sir, I have availed Home Loan 20 lac, and Cash Credit 30 lacs in Bank with collateral of my residential house and also I have two Car loan of Rs 6 lacs and 3.85 lacs respectively. These loans taken from three year back . Till Feb 19 this year my business were gone well and I have paid my EMI properly. On Feb 19 one of my worker attacked me with knife for kill by god grace I have escaped with heavy injured and further hospitalized more than two months. From that day my entire business were collapsed for paying EMI and other medical and home expenditure I have borrowed from other source for higher Interest. Now my total loan came to more than One Cr. Only last three EMIs are pending.
    My house is only property for me. Please guide me what to do in this situation?. and How can come out from dept.
    Restart my business I have atleast 20 lacs . I don’t want to cheat others I have to settle What to do?

    Thank you

    Reply
    1. Team BankBazaar

      Hi John, While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. Try talking to your lenders and explain your situation to them. They might be willing to provide you with easier repayment terms. We’re sorry we are unable to help you further. We suggest that you get legal counsel or consult a financial advisor to sort this out. Cheers, Team BankBazaar

      Reply
  49. sindhuja senapati

    sir if we fail to pay gold loan at one bank ,can we get loans from other banks in future

    Reply
    1. Team BankBazaar

      Hi Sindhuja, Gold loans are secured loans, just like a Home Loan and Car Loan. Therefore, they have an effect on your Credit Score. If you default on your repayments, it can negatively affect your Credit Score and this will make it difficult for you to get a loan in the future. So, please make your payments on time and in full. Cheers, Team BankBazaar

      Reply
  50. Vincent

    Hi Sir, my father taken loans of 22 lakhs(principle) (including credit card loans and used debits) from 10 banks on 2006 time, before this also he have taken other loans and he paid very clearly and on time till 2008, he lost his business in 2008 and he suffered health problem. on that time my father only support (he only does work in my family). On that time my mother also sick due to all these people come into my home (rented house) and harassed. So, we left that place without intimation of banks. Last year only i started a small local business if i continue this after 2 years i can pay(at least (a minimum amount) we settled) but unfortunate one of the banker(I don’t know he is a banker or agent but he told me he is a banker he showed me some bank Id card) find my dad number and my present staying house(rented) he came and asked rudely to pay after one hour of talking he agreed he gave only 10 days(decreased some amount in principle) he is one of the banker. I want your advice is for one bank i try to pay (for this also i need to borrow from my relative’s members and friends) but if all i want settle at a time, without struggling my family (no body should come to my home) i want to settled down with all bankers I’ll arrange at least 9 lakhs by 1 year time. Please suggest? Do i have any alternate to take time to settle all loans at a time?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Vincent, We are very sorry to hear about your situation. Try talking to your bank and explaining the situation to them. They might be able to find a solution for you. If this does not work, we suggest that you get legal counsel or consult a financial advisor to sort this out. Cheers, Team BankBazaar

      Reply
      1. Vincent

        Hi sir, these people are coming from agency, and another person also came I have cleared one PL (1.50 thousands). within 15 days another one came and asking to repayment, i don’t have money now i also borrowed from my relatives for last payment I made. my father also not well to talk all about these. if i need to settle how much money they will decrease. Could you please suggest me for my present situation? At least through mail sir. please suggest me and I don’t know about legal council also tell me about that. And is any one can (any organizations) help me for my situations.

        Reply
        1. Team BankBazaarTeam BankBazaar

          Hi Vincent,
          We are extremely sorry about your situation. While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. You can start with consulting a lawyer who will best guide you through this ordeal. You can also try speaking to the bank and explaining your situation to them.They might be willing to extend the tenure of your loan and reduce the emi amount.

          Good Luck.

          Cheers,
          Team BankBazaar

          Reply
  51. Harshit Kumar Gupta

    Hello sir, Actually my father had taken a education loan from SBI in 2011 for B.E. for my sister .. My father has given all his PF and permanent address details to the bank.. BT Still she didn’t got any job.. N it becomes very difficult for us to repay .. Is there any relief from the bank in interest or principal..??

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Harshit, Try talking to your bank and explain your situation to them. They might be able to help you. Cheers, Team Bankbazaar

      Reply
  52. RAMBABU

    I AM NOT ABLE TO PAY HOUSING LOAN EMI DUE TO JOB LOSS AND FINANCIAL PROBLEM AND CONTACT BANK MANAGER EXPLAIN PROBLEMS AND ASK MORE TIME TO PAY EMI BUT HE TOLD THAT IT IS NOT POSSIBLE WHAT CAN I DO SIR PLEASE SUGGEST ME

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Rambabu, We’re so sorry about your situation. First things first, to get back your financial security you must consider getting a job. In the meantime, speak to your bank and explain your situation to them. They might be willing to give you an extension on your loan for a limited time period (until you get a job). Once that’s done, you can also check with your bank for options to reduce your EMI amount so that it eases your financial burden. We wish you good luck. Cheers, Team BankBazaar

      Reply
  53. m.arunkumar

    Sir my name arunkumar i take PMEGP Loan on SBI bank my loan amount 14 lac and subcity 4.8 lac (near) now 1.5 years pass my subcity already come but it will put my account in 3 years latter . My collector scurity is my father house my business Flour mill building is another place.
    Starting also my business going very bad every time NP my account and then i put my wife mother sister Jwells put in bank and pay my EMI ( 37,000 monthly)( 60 month ) . Now Feb 2017 my account NP and bank send me Act2002 yellow notice alreay 6 days going . Now my hole family scold me including my father also i plane to go singapore earn and pay my loan but that also ready not possible now . I ask my bank feeld officer please increase my month 60 to 120 but he say not posibble if u want you sell your property and settle your loan any way i dont care but must you settle your loan.
    Now i approch LIC HOUSING LOAN FINANCE but he also not sure. Now i have 2 property my father house and my flour millbusiness land building property but two papers also in SBI.
    i write my switchvation to CM CELL they answer to me REDUCE YOUR LOAN AMMOUNT but my bank not accepted

    pllease gaid me i approch who. I approch which bank . Please because my mind always going to suicied please help me

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi M Arunkumar,

      While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. We would love to help but due to the specific nature of your question, we suggest that you get legal counsel or consult your financial advisor sort this out.

      Cheers,
      Team BankBazaar

      Reply
  54. Venkatesan

    Sir my name venkatesan, my mother in law took a shg loan from IOB bank before 2014(i dont know the year). my mother in law is a leader of that shg. my mother in law take Rs.20000/- from that loan for medical purpose. at the time of 02-08-2014 the overall shg group loan pending is 55696 (pincipal) + 25172 (interest), bank and shg made one time settlement about 42000 at the time shg pays 25000 and agree to pay the balance amount 17000 within 20 days.(before 22-08-2014). At that time other shg members says balance 17000 is the responsible of my mother in law. Because my mother in law did not pay her dues. My mother in law agree the deal. My mother in law was hospitalised from 04-07-2014, so she unable to repay the loan. At that time my mother in law was dead on 04-09-2014 in hospital. After 3 months my uncle also dead . I am not aware about this issue. either bank staff or shg members are not notify about this debt. now feb 2017 iob bank manager block all other 19 shg members account and said pay rs 88000 for the debt. My wife is a only child for my uncle. so all 19 shg members family fight with my wife and said that pay rs.88000 for her mother. My uncle , aunty and my aim was not fraud the debt. My uncle and aunty is no more from 2014, me and my wife are not aware about this debt, because my marriage is love and inter caste marriage , so before my aunt death i am not attach with her family. The distance between my native place and my uncle native palae is more than 300 km. In 19 shg members some peoples fighting with me and some others crying. I am not well to pay 88000. 88000 is bigger amount for me. please give me suggestion and information to solve this issue positive manner. please forgive me for my worst english written.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Venkatesan,
      We’re extremely sorry to hear about your situation. While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. Due to the specific nature of your question, we suggest that you get legal counsel to sort this out. You can also try talking to the bank and explaining your situation to them. They might be able to help you find a solution.

      Cheers,
      Team BankBazaar

      Reply
  55. Suhas

    Hello Team,
    I have taken a personal loan from 5 banks. It was an emergency medical situation of my mom and then to complete her wish to see the wedding of my younger brother. So, I spent entire loan amount on medical expenses and Wedding of my younger brother. He is a businessman and is supposed to help me on repaying the loan emi. However he is in a big loss now. He could not help me in repaying the loans. I am earning 50000 / month. It will be very difficult for me to pay all these emis more than my earnings and run both the families.
    As of today I have never missed the emi. I really want to pay the loan amount.
    What can I do? Please advise.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Suhas,
      Kindly get in touch with the respective banks and explain your situation for them. You could speak to them for a tenure extension. They’ll be able to help you.
      Cheers,
      Team BankBazaar

      Reply
  56. Singh

    Dear Bankbazaar,
    i have taken education loan of 2,98,000 in 2012, from uttar bihar gramin bank. i dont know too much but my father have paid 18,000 once in 2013. now after graduation in may 2015, i got a job but then left that in sometime, to prepare for govt jobs. Now since graduation i havent contacted my bank till now. Am i a loan diffaulter? Can i check my CIBIL score from some other bank?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Singh,

      You should get in touch with your bank immediately to check on the status of your loan. Non-payment of a loan will certainly make you a defaulter and affect your credit score too. You can check you Credit Score on our website. It’s free. Click here.

      Cheers,
      Team BankBazaar

      Reply
      1. Singh

        sir, if i go to some bank and ask them to check my credit score, would they help me?

        Reply
        1. Team BankBazaarTeam BankBazaar

          Hi Singh,

          You’re in luck! You can check your Credit Score on the BankBazaar website for free. Just click on this link

          In order to check your credit score, you need to approach a credit rating agency and not a bank.

          Cheers,
          Team BankBazaar

          Reply
  57. ramesh

    Sir in my relatives my uncle had taken a bank loan for his business and after some time business was failed and because of that his financial conditions were not good so because of circumstanes he had to leave that state without informing the bank and without paying the loan and all these happened nearly before ten years and now his brother who lives in that state has informed the bank management that he is living there and give his address so my uncle is deppresed now by thinking what will happen so pls would you tell me what will be the circumstances

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Ramesh,
      We’re extremely sorry to hear about your uncle’s situation. We suggest asking your uncle to talk to the bank and explain his situation to them. They might be able to find a solution. You can also get legal advice to sort this out.

      Cheers,
      Team BankBazaar.

      Reply
  58. R. Shanmuganandan

    Dear Sir,
    My friend has signed as a guarantor for a car loan, after 5, 6 dues the borrower stopped repaying the instalments. My friend along with bank staff approached the borrower several times but there was no response. Finally, the bank seized the vehicle and sold the vehicle. Now the bank wants to file suit against the borrower and the guarantor for NPA. As a guarantor, my friend is very depressed, I kindly request you advice some possible remedy in this case.

    R. Shanmuganandan.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi R. Shanmuganandan,

      That is very unfortunate. But, since the bank has already filed a suit, its best that your friend gets some legal counsel too.

      Cheers,
      Team BankBazaar

      Reply
      1. R. Shanmuganandan

        Dear sir, Bank people have not filed suit yet – Please reply.

        Reply
        1. Team BankBazaarTeam BankBazaar

          Hi R. Shanmuganandan,

          If your friend can get in touch with his borrower friend, he should try talking to him and coax him to repay his loan. But if the borrower isn’t reachable and is avaoiding the debt, then to safeguard himself your friend should seek legal counsel.

          Cheers,
          Team BankBazaar

          Reply
  59. Jobin Sebastian

    Sir.,
    My father take a agricultural loan from syndicate bank of 3 lakh rs…he was died affect on cancer…he died on 15/7/2016 . And I cant renew the loan .. the guranteer also died. What can I do next???

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Jobin Sebastian,

      Try talking to the bank to see if they will provide a loan in your name.

      Cheers,
      Team BankBazaar

      Reply
  60. Vijay Mishra

    Dear Sir, This is a very serious emergency situation , my wife was a co borrower from ICICI bank but was diagnosed with a fastest growing type of cancer ever detected in human body a very rare type , and therefore had to be operated thrice in the last six years , my flourishing business is in very bad condition , yet i keep paying the bank regularly , the bank is aware of all this situation, I have a marriageable daughter , a son doing engineering , I have been reduced to a door to door sales man with my business almost finished , the bank keeps sending me legal notice .. just to pressurize me even if their one month delay ,fully aware that i would borrow and pay them immediately this has lead to severe stressful situation adversely effecting my wife’s health , realizing my anxious nature and vulnerability , the bank dragged me to the court on the day my wife was operated for cancer , I left the hospital and reached the court , and when the judge asked me for the reason for the delay , and on being informed , he immediately dismissed the case with a very strict warning to the bank officials and asked return to the hospital immediately . i have planned to go in for one time settlement and have already paid bank rs 14 lakhs against 9 lakhs , with just one installment due , but the bank insists that i have to pay them 8.36 lakhs ..this amount os enough to send my wife back into severe depression against medical advice , I have no money to treat her , i have stopped all medical treatment so as to pay the bank … and the bank officials are fully aware of it … PLEASE HELP A DYING SOUL WARM REGARDS I AM VERY EAGERLY WAITING FOR YOUR REPLY . I HAVE TO GO TO THE BANK TODAY .. PLEASE TREAT THIS AS A LIFE SAVING REQUEST …

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Vijay Mishra,

      We are extremely sorry to hear about your situation.

      If the loan you have taken is a Home Loan, you should check if you have taken an insurance policy to cover the the loan. Though this is not mandatory, banks usually insist that borrowers take this insurance as it provides a job loss cover. We suggest that you get some legal help and talk to the bank about making a one-time settlement.

      Cheers,
      Team BankBazaar

      Reply
  61. T Madhavan

    Hi Team,

    I received Education loan in 2011 and I have repaid only less amount. I still have outstanding of over 10 lakh rupees. I also have two credit card aprox 50,000 each. I could repay any of these three loans as I had no job. Now I am planning to move abroad as Skilled immigrant as I have solid education record and everything. My points to get invitaion is pretty good and there’s a possibility that I will get an invitation soon.
    I am financially in a bad state right now. I should be able to repay my loans once I move to foreign country with good salary. Now I am worried if my visa may get rejected due to unpaid loans. Please suggest me in which cases my visa may get rejected due to outstanding loan. Also how much percentage can I pay to get NOC from the banks in order to be out of radar until I move abroad.

    Cheers!

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi T Madhavan,

      Your unpaid loans might be an issue. We suggest that you get a good financial advisor to help you with this.

      Cheers,
      Team BankBazaar

      Reply
  62. Rasidul Hoque

    Dear Sir/Madam
    i took a Bike loan but unfortunately my Bike was STOLEN. what should i do?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Rasidul Hoque,

      That’s unfortunate. Please report the incident to the police. If you have taken Two-wheeler Insurance for theft while purchasing the bike, you could get compensated for the cost of the bike.

      Cheers,
      Team BankBazaar

      Reply
  63. raviraju

    sir,

    I have applied for personnel loan . I have already loan account in SBH I have asked ICICI disclose loan at SBH and give the loan transfer existing loan. But they are rejected my application why? I have cibil score is 785 but why they return my application I have to know.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi raviraju,

      Your Personal Loan can be rejected due to a lot of reasons and your CIBIL score isn’t the only thing that can get you a Personal Loan. Please read this blog for more information.

      You can also check with your bank for the reason.

      Cheers,
      Team BankBazaar

      Reply
  64. Vinod

    Hi Team,

    I have taken personal loan 1.5 lakh in Nov 2015 with 24 month tenure and now i have another 6 emis’s. In this i delayed 4 emi’s(paid in same month but late). (outstanding 42000)
    I have advance salary of 1 lakh in office paying 5000 per month and going to complete in sep 2017.(outstanding 25000)
    I have credit card outstanding of 25000(limit 30000)
    My credit score 764.
    My salary is 23000 per month.(Net = 23000-5000=18000)
    Now i need personal loan of 300000, is it possible. i dont have idea about rescheduling. please advice me to resolve this.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Vinod,
      Even though your Credit Score is not bad, you have too many loans to clear. We suggest that you at least clear your Personal Loan before applying for another one. This will help lower the chances of rejection.
      Cheers,
      Team BankBazaar

      Reply
  65. c M reddy

    Dear sir
    My cousin was working in one company, and there was her HDFC bank savings account opend throgh that company, throgh that account she got one personal loan and she was repaying regularly while she got salary, because of several reasons she left job and she tried to pay EMI s after that also, but after some months she failed to pay, After this she got married went aborad with husband, even now she is not working and depending on her husband she unable to pay, three years over now bank people found address of her native and harracing and warning her family members that her passport will be seased and so many, please suggest me what to do now?

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi c M reddy,

      The bank cannot harass your cousin’s family for non-repyament. If they’re doing so, then we suggest that the family get legal counsel to deal with this situation.

      Cheers,
      Team BankBazaar

      Reply
  66. Sahil mohapatra

    Hi sir mein sahil hun aur mere pitaji ne dolakhpachas hajar ke loan liatha aur ab tak khatma nehin hua hai kya mein mere lie business loan le sakta hoon

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Sahil mohapatra,

      You can check your eligibility for a loan here.

      Cheers,
      Team BankBazaar

      Reply
  67. Rahul

    hello sir
    3 years ago i have became a guarantor in a bike loan but borrower did not pay any amount and bank executive told me that you should recover his to us and you will be out of responsibility and i did the same but after 3 years they have filed a case in which they are asking me to come in the court but i already recovered the bike to them. Now i am in a fix what to do? please provide me a solution .

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Rahul,

      While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. We would love to help but due to the specific nature of your question, we suggest that you get legal counsel to sort this out.

      Cheers,
      Team BankBazaar

      Reply
  68. Rishikesh

    my dad taken loan for business…25 lakh is amount…and we cant repay to the bank and the bank has gone to the court without informing us… now they have won that case in xparty decision….and are asking us to give possesion of property…..we cant pay that much amount at once…can i have solution for that pls reply…we are need of help

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Rishikesh,

      While we do provide general tips and advice on personal finance, we will not be able to provide guidance on specific queries. We would love to help but due to the specific nature of your question, we suggest that you get legal counsel or consult your financial advisor to sort this out.

      Cheers,
      Team BankBazaar

      Reply
  69. Sunil Kumar

    Hi sir ..I bought one flat in my native with housing finance for Rs 2000000.00 The original value of the flat will be 3300000.00 my question is now i am in situation that i am unable to pay any principle or interest as i am totally nil so i am asking whether it is possible to make one time settlement in the seance that the banker will take the said property and will settle all the dues and how much time it will take to complete the process.and also please be inform that how can i approach to bankar.

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Sunil Kumar,

      Yes, you can make a one-time settlement to pay off your Home Loan. Please speak to your bank to get more clarity on this.

      All the best.

      Cheers,
      Team BankBazaar

      Reply
        1. Team BankBazaarTeam BankBazaar

          Hi Sunil Kumar,

          You’re most welcome. Have a nice day!

          Cheers,
          Team BankBazaar

          Reply
  70. Ram Singh

    Sir my father and my one brother out of 4 took a loan from bank 12 years ago by keeping the house as collateral , but after many settlements also they are failing to pay loan , now if bank will cease the home and land then what I should do to claim my share on the property as the property belongs to all brothers and father as we got the property from my grandfather after his death . please suggest how should I claim my property , what step I should do as bank and my father is not willing to provide any information regarding the loan and the procedure .please help me out Sir

    Reply
    1. Team BankBazaarTeam BankBazaar

      Hi Ram Singh,

      Usually, you are entitled to a property that you inherit from your forefathers. But in this case since the property is already pledged, you may not be able to recover it unless you pay the dues on it. We suggest that you contact your legal advisor for help with this.

      Cheers,
      Team BankBazaar

      Reply

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