Update on personal loan moratorium offered during Covid-19
Based on the announcement made by the Reserve Bank of India (RBI) to allow banks and NBFCs to offer moratorium on term loans, Bajaj Finserv has decided to provide the same to its eligible customers. All the customers who have availed of personal loans with no more than 2 EMIs due for payment and a consistent repayment record are eligible for a moratorium.
To ease the liquidity crisis that you may face amid the COVID-19 lockdown, you can avail of the moratorium period for 3 months, i.e., March, April, and May 2020. If you are an eligible customer and decide to opt for it, no EMI will be debited from your account during the period.
What is the meaning of moratorium period?
A moratorium period refers to a particular period during the loan tenor in which you do not have to pay any equated monthly instalments (EMIs). Also referred to as EMI holiday, it can be defined as a waiting/ break time for you as a borrower, before you pay the monthly instalments.
In the case of a personal loan, you are obligated to pay EMIs right from the start of the tenor untill its end. However, if you opt for a moratorium, you will not have to repay the lender any amount during that course of time. Even though during this time you don't pay anything, you'll still accrue interest on your personal loan. In addition, your overall loan tenor will also increase by the number of months you have opted for a moratorium.
What are the benefits of opting for an EMI moratorium on personal loans?
Amid the lockdown, if you are facing a financial crisis due to uncertainty in income flow, opting for an EMI moratorium can be beneficial for you. In this case, non-payment of EMI will reduce the outflow of cash and alleviate your financial stress. But only if you will be able to repay increased EMIs once the moratorium is over should you go for it. Since interest is getting accrued on your loan during the period, the total outstanding will go up.
How can you request a moratorium on a Bajaj Finance Personal Loan?
To opt for moratorium on your personal loan from Bajaj Finance, you should raise a request for the same at least 7 days before your EMI due date. There are two easy ways in which you can raise a request.
1. Through our customer portal
- Visit our customer portal to log in and authenticate your identity
- Choose the "Covid-19 Moratorium Policy" option from the product dropdown in the Raise a Request section
- Select your personal loan details and read the terms and conditions carefully
- Submit the request after agreeing to the terms and conditions
2. Via e-mail
Select the 'Email Us' tab here and follow the directions to get your query resolved.
