Debt collection calls
9 months ago
Hi Sir/madam,
Due to very serious financial hardship iam not able to pay the EMI form last 1 month and this might continue for other 3-4 months. I have already communicated to the banks through email. As their right they are initiating recovery calls, however from past few days iam not able to receive the recovery calls due to my very serious and personal situation. I have sent them mail regarding the same. What more can i do, how can i communicate them saying iam not able to receive calls and iam not intentionally doing this.
A.Dear Client,
A loan is termed NPA typically after 3 missed EMis (i.e. three months of not repaying on loan). You need to approach the concerned Bank/NBFC, because your query completely depends upon the discretion of the concerned NBFC/Bank from where you avail the loan. Usually, Bank did not allow such requests of borrowers on the ground of their inability for any reason including personal constraints which is contrary to the general terms and conditions of a loan agreement and the standing rules and regulations of the lending NBFC/Bank. So, you can at least approach the concerned NBFC/Bank praying for restructuring of loan or for benefit of moratorium to access their views and if the Bank/NBFC did not allow your appeal, then you are legally bound to repay the loan as per the terms and conditions of the Loan Agreement. In case of failure to repay, Bank/NBFC will follow its routine recourses to recover the outstanding loan from the borrower marking the loan as NPA that also adversely affects your CIBIL Records. So, handle the matter carefully and wisely.
A loan is termed NPA typically after 3 missed EMis (i.e. three months of not repaying on loan). You need to approach the concerned Bank/NBFC, because your query completely depends upon the discretion of the concerned NBFC/Bank from where you avail the loan. Usually, Bank did not allow such requests of borrowers on the ground of their inability for any reason including personal constraints which is contrary to the general terms and conditions of a loan agreement and the standing rules and regulations of the lending NBFC/Bank. So, you can at least approach the concerned NBFC/Bank praying for restructuring of loan or for benefit of moratorium to access their views and if the Bank/NBFC did not allow your appeal, then you are legally bound to repay the loan as per the terms and conditions of the Loan Agreement. In case of failure to repay, Bank/NBFC will follow its routine recourses to recover the outstanding loan from the borrower marking the loan as NPA that also adversely affects your CIBIL Records. So, handle the matter carefully and wisely.
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A.Dear client,
Written communication: Continue to communicate with the banks through email or written correspondence, explaining your financial difficulties and the reasons why you are unable to make the EMI payments. Clearly express your intention to repay the loan once your financial situation improves.
Provide supporting documents: If possible, provide supporting documentation, such as medical bills, termination letters, or any other relevant documents, to substantiate your financial hardship. This can help the banks understand the severity of your situation.
Request for alternative arrangements: In your communication, you can request for alternative arrangements, such as a temporary deferment of payments, extension of the loan tenure, or revised repayment terms that better suit your current financial circumstances.
Seek professional advice: Consider consulting with a financial advisor or a credit counseling agency who can guide you on the best approach to handle your financial situation. They can provide insights and assistance in dealing with the banks and negotiating feasible repayment options.
Follow up regularly: Maintain regular communication with the banks by providing updates on your situation, even if you are unable to take their phone calls. Promptly respond to their emails or letters to show your willingness to work towards a resolution.
It's important to remember that the banks have their own processes and policies for handling such situations. Each bank may have specific guidelines regarding hardship cases, so it's crucial to stay in touch with them and explore possible solutions based on their policies.
Additionally, it's advisable to seek legal advice or consult with a consumer rights organization to understand your rights and any applicable legal protections that may be available to you during this challenging period.
Written communication: Continue to communicate with the banks through email or written correspondence, explaining your financial difficulties and the reasons why you are unable to make the EMI payments. Clearly express your intention to repay the loan once your financial situation improves.
Provide supporting documents: If possible, provide supporting documentation, such as medical bills, termination letters, or any other relevant documents, to substantiate your financial hardship. This can help the banks understand the severity of your situation.
Request for alternative arrangements: In your communication, you can request for alternative arrangements, such as a temporary deferment of payments, extension of the loan tenure, or revised repayment terms that better suit your current financial circumstances.
Seek professional advice: Consider consulting with a financial advisor or a credit counseling agency who can guide you on the best approach to handle your financial situation. They can provide insights and assistance in dealing with the banks and negotiating feasible repayment options.
Follow up regularly: Maintain regular communication with the banks by providing updates on your situation, even if you are unable to take their phone calls. Promptly respond to their emails or letters to show your willingness to work towards a resolution.
It's important to remember that the banks have their own processes and policies for handling such situations. Each bank may have specific guidelines regarding hardship cases, so it's crucial to stay in touch with them and explore possible solutions based on their policies.
Additionally, it's advisable to seek legal advice or consult with a consumer rights organization to understand your rights and any applicable legal protections that may be available to you during this challenging period.
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