What is the opinion of Bank of India for online loan restructuring to its eligible customers? A message has been sent asking for this.
Mumbai: Banks have started the process of restructuring loans of up to Rs 25 crore to help small businesses affected by the second wave of corona virus epidemic. This process is in line with the Covid-19 relief measures announced by the Reserve Bank of India (RBI) earlier this month. Many banks have been approved by the Board of Directors for the solution framework and eligible borrowers are being approached in this regard.
What is the opinion of Bank of India for online loan restructuring to its eligible customers? A message has been sent asking for this. “During these difficult times, we are relieved to help you in accordance with the Reserve Bank’s Resolution Framework 2.0 announced on May 5, 2021. If you are under financial pressure due to the second lot of Kovid, you may choose to restructure your account.” Such a message is being sent.
Banks start this work
Public sector Punjab and Sind Bank, meanwhile, said the debt restructuring scheme has been approved by the board of directors as per RBI directives. “We will reach out to our customers through the Bank Representative (BC), which will allow us to estimate how many customers want to benefit from the restructuring, in the next few days,” said S Krishnan, managing director of the bank.
Benefit to borrowers up to Rs 25 crore
The second wave of the Covid-19 epidemic has hit MSMEs, people and small businesses the hardest. Taking note of the current situation, the Reserve Bank has released Resolution Framework 2.0. Under this, individuals with loans up to Rs 25 crore and small businesses can opt for debt restructuring.
In the case of people who have benefited from loan restructuring under the previous scheme by the Reserve Bank, banks and lending institutions were allowed to extend the moratorium period to ease the pressure by making changes in the schemes.
The new Resolution Framework 2.0 will benefit individuals / units whose accounts are open by March 31, 2021. Under the new loan settlement system, banks can apply till September 30. Also, the scheme has to be implemented within 90 days.
