The Reserve Bank of India (RBI) announced on March 27, 2020, that lending institutions must offer a three-month loan moratorium to the borrowers. However, the loan moratorium may not work the same way for everyone. Customers have to call their respective banks and opt-in for the relief, otherwise, your payments may be deduced automatically, or your bank will allow the three-month break by default.

State Bank of India, on their official twitter handle, said, “In terms of RBI COVID-19 regulatory package, SBI has initiated steps to defer the installments and interest/EMIs on term loans falling due between 1 March 2020 to 31 May 2020 and extended the repayment period by three months”.

Read our blog to find out how to stop your EMI or make payments.

State Bank of India

Default option: Relief only if a customer chooses to opt-out.

How to stop EMI: Send an email to ask for the moratorium in case of loan EMI.

ICICI Bank

Default option: Automatic relief in case of two-wheeler loans, business loans, farm loans and jewel loans.

How to stop EMI: Check the bank website for loans eligible and not eligible for a moratorium by default and then send an SMS or email to bank accordingly.

HDFC Bank

Default option: Relief only if a customer chooses to opt-out.

How to stop EMI: You should call the bank and follow their instructions or submit your request for a moratorium on the bank’s website.

IDBI Bank

Default option: Automatic relief

How to stop EMI: According to the bank, you must send an email to moratorium@idbi.co.in to opt-out of the moratorium.

Axis Bank

Default option: Automatic relief is given for Farmer loans, Microfinance loans, gold loans, KCC loans, Business loans, Commercial vehicle loans, Construction equipment loans, Commodity loans, Tractor loans, and Unsecured overdraft and term loans (Small Business Banking). For any other loans, moratorium relief is given only if the customer chooses to opt-out.

How to stop EMI: Visit the Axis bank website to know the loans eligible and not eligible for a moratorium by default and then send an email or SMS to the bank accordingly.

Kotak Mahindra Bank

Default option: Relief only if a customer chooses to opt-out.

How to stop EMI: According to the bank, you must send an email to them and ask for the moratorium.

Bajaj Finserv

Default option: Relief only if a customer chooses to opt-out.

How to stop EMI: According to the Bajaj Finserv, you should send an email and ask for the moratorium.

Standard Chartered Bank

Default option: Automatic relief in case of loans

How to pay EMI: If you want to opt-out of the moratorium, you should send an SMS. Check the bank website to know the procedure. 

In case your bank is not listed above, directly visit your bank’s official website to know the complete information. Considering the impact the moratorium has on your finances, it is better to repay your EMI every month in case you have enough money in your account. It is recommended that you avail moratorium only if you do not have sufficient funds available in your account.

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