Loan From Microfinance Loan From Microfinance

2 years ago

Hello Ma'am / Sir,
My mother had taken loans from Microfinance under the woman group loan. She has taken loans in her name and in the name of some women who are associated with the group loan. There was a mutual commitment between the woman and my mother that my mother will repay their loan amount as she has taken the money. Everything was running smoothly, but the problem started arising when she was unable to arrange the weekly payment to the centers due to a financial crisis and then she started borrowing weekly amounts from two individual women to repay her weekly loans. Since last one year she i,e, from march, 2020 my mother completely stopped payments due to the first Lockdown in India. Now the Microfinance centers are giving pressure to the group women and to my mother also. My mother requested that all centers repay her and all women's loans that she had taken. But the center is not giving time. The two private money lenders are also giving pressure to my mother.
Thank You !

Anish Palkar

Responded 2 years ago

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A.Nobody can force you for paying the EMI for the microfinance loan under the financial crisis you can surely get more time for the same and in the meantime do not take any more loan from private money lenders because it will create another new loan
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Sidhaarth

Responded 2 years ago

A.Report the matter to police if your mother is being harassed by company. Utmost company can file recovery suit but company or money lender cannot adopt illegal means. RBI has declared many microfinance companies illegal so check the status of the company.
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Anik

Responded 2 years ago

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A.Hi,
You can try to reach out to the centers and request them to extend the period of credit. Most of the microfinance entities are submerged in indebtedness as of now and are trying to recover money from any given source.
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Ayantika Mondal @ Prime Legal

Responded 2 years ago

A.Hi,
You may consult any financial agent who can guide you on how to repay the outstanding amount. You may also have to reach out to your creditors and work out a negotiation as to extending the date of repayment.
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Kishan Dutt Kalaskar

Responded 2 years ago

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A.Dear Sir,
It is universal known factor that in this Covid situation no body having income to repay the loans. Become thick skinned and just neglect their calls.
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Abhimanyu Shandilya

Responded 2 years ago

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A.The situation is same across India for all the MFI and. Ask your mother to reach out to the MFI and tell then that its not feasible to repay now due to lockdown but shall start repaying once the situation improves. But if they don't stop harassing then it will create Andhra Pradesh MFI like situation which will be bad for MFI as well. This is the time when all have to cooperate and if MFI do not then nothing can be done. When banks and RBI are giving moratorium why MFI can't give?
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