After EMI Moratorium, you want to get the rest of the loan, transfer to another bank, then do this important work


No customer, including a consumer availing EMI Moratorium facility, can be stopped from transferring an existing Existing Loan to another bank. However, banks reject the application of loan transfer. In fact, most customers transfer their loan from one bank to another bank on the basis of lower interest rate.

new Delhi. In the midst of Corona crisis, if you have taken the facility of EMI Moratorium for some time and want to transfer your loan to another bank offering lower interest rate, then it is possible that Your application rejects the existing lender. Bank CEO Adil Shetty says that on the basis of credit policy and risk assessment, the lending bank can reject the application to transfer the remaining loan of the customer to another bank. It is absolutely not necessary that the applications of all customers be approved.

Loans are transferred to save interest cost
According to Shetty, the lender will assume that the borrowers who have opted for the moratorium are facing cash flow problems. In such a situation, until the customer is able to convince the lender bank that their cash flow problem has been resolved, it can be difficult to transfer the outstanding loan to another bank. In fact, most customers transfer their loans from one bank to another bank on the basis of low interest rate. With this, they get the benefit of saving in interest cost.

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Federal Bank Senior Vice President Babu KA said that most customers facing the challenge of cash flow opt for Moratorium. According to him, complete information about your income and income source is taken to get the loan approved. According to the Live Mint report, new lenders can wait until the moratorium is over and EMI payments can be resumed on behalf of the customer. However, he said that there is no such rule under which any customer, including a consumer who has opted for EMI Moratorium, can be prevented from transferring the loan to another bank. Nevertheless, banks reject the application of loan transfer.

Most of the same customers apply to transfer the remaining loan to other banks, who have taken the loan at floating rate. Actually, in floating rate home loan, no payment is levied on the premature payment of the loan. At the same time, if the new bank offers the customer a loan at a rate of 0.50 per cent lower than the existing lender, then the consumer offers loan transfer applications. However, most of these customers take these steps, whose loan period is 10 years or more. This saves them a significant amount of interest cost.

Now the question arises that if your moratorium is going to end on August 31 and you want to transfer the loan then what do you do Will happen. Experts say that after the moratorium is over, customers should pay EMI regularly for the next few months. With this, new lenders will assume that your cash flow problem is over and you can easily pay the loan. Gaurav Gupta, CEO of My Loan Care, says that after this your loan can be easily transferred to another bank. Apart from this, if you are having trouble in paying EMI, then you can get your debt restructured.


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