Bajaj Finserv Penal Charges
Irrespective of a borrower’s professional identity, before choosing any financial product, it is essential to prepare a solid repayment strategy to avoid any financial strain in the long run. If a borrower delays or misses a payment, it will lead to penalties. Every time the borrower misses a payment, he/ she is required to pay late payment charges in the form of penal charges charged by Bajaj Finserv and bounced charges levied by your respective banks.
Therefore, to put it simply, a penal charge or interest is imposed by Bajaj finance Limited if the borrower fails to pay his/ her EMIs within the stipulated period.
What are the types of penal charges?
There are primarily two types of penal charges that are levied on the borrower’s account.
- Missed/ bounced EMIs – This is charged to the borrower if an EMI amount is missed or if it bounces due to any reason. This is reflected in the borrower’s loan statement.
For example, if the borrower’s bank account from which the EMI is deducted, does not have sufficient funds, the amount will bounce. This will lead to a penal charge being levied.
- Imposed by financial lender on customer’s loan account - These charges will be reflected in the bank statement by the name of Bajaj Finance. However, the charges are imposed by the customer’s financial institution and not Bajaj finance. In such cases, customers can raise a dispute with their respective banks
Besides these, penal charges can also be imposed on other occasions. For example, if the borrower’s EMI is not deducted on a specific date of the month due to some technical issues, penal charges will be imposed on missed EMI. Again, in a different scenario, if the borrower has insufficient funds, closes the respective account, or activated a stopped payment option, penal charges will be levied.
Considering the first case, if penal charges are levied, borrowers can request for waiver or refund by reaching out to us through the My Account in the ‘Raise a request’ section. The refund or waiver of charges is the sole discretion of the company and may not be given in all cases.
Charges may vary across financial products and as per loan agreement. Borrowers are notified beforehand through SMS for the recovery of charges. For further information, please refer the fees and charges v page for appropriate details.
Above all, it is recommended to maintain sufficient funds in the loan account before the date of EMI payment to avoid any charges imposed by financial institutions. Also, paying EMIs on time will also boost one’s credit score and improve loan eligibility for the future.
Frequently asked question
You can avoid penal charges on their loan account by:
- Ensuring timely payments by keeping sufficient funds in your bank account
- Making prior payments before the stipulated date through My Account, if your EMI will bounce due to insufficient funds on the usual date
- Ensuring that your bank account information is updated on the customer service portal - My Account