Advice regarding unsecured business loan
5 months ago
My father take loan of 150000 from bharat finance inclusion(which is subsidiary of insulnd bank).one weekly emi was bounced on this friday.Unit manager and there bank employees came to my house that time my father was not at home.so i confort them and told my father was not at home.they misbehaved with me and shout at in locality about my loan. Currently my father is not in state to payback loan and bank mangers to provide some time but bank mangers was not agree and told my father sell your household thing and pay back our loan
Can u advice me what should my father do because my father is currenlty unable to payback loan?
Note:- my father pay back almost 69000rs of loan.
A.Dear Client,
Lenders are not legally obliged to settle a debt lowering your outstanding debt, but because they want to protect their bottom line, they may agree to a debt settlement to avoid further financial loss. You can try to negotiate a debt settlement on your own if your pocket permits to repay the entire outstanding at a time for one-time settlement of dues, but sometimes it's typically done through third parties like debt relief companies, which you may hire to negotiate the settlement matter with the lender on your behalf. With this method, you will make payments to the debt settlement company rather than your creditors/lenders, along with a certain amount of fees/service charges. Debt settlement is an agreement between a lender and a borrower in which the borrower repays a portion of a loan balance and the lender forgives the remainder. You may consider starting the negotiation by offering to pay 25% or 30% of your outstanding balance in return for forgiveness on the rest. But, it may be noted that while there are legitimate debt relief/settlement companies, there are also many scam operations. So, if you're considering one, the Consumer Financial Protection Bureau(CFPB) suggests for contacting your state attorney general's office and local consumer protection agency to ask if they have any consumer complaints on file about that company. Some states require that debt settlement companies be licensed, which may provide some added protection. Although a debt settlement can offload some of your financial crisis, there are also a few potential risks and downsides to consider. First, a debt settlement will affect your credit score. That will make it more difficult for you to get credit or good interest rates in the future. Another potential drawback is that when you settle debt, you could face tax consequences. Further, a quick counselling session with a certified credit counsellor can help you to discover your options and choose the right path forward to settle the debts/loan with the Bank.
Lenders are not legally obliged to settle a debt lowering your outstanding debt, but because they want to protect their bottom line, they may agree to a debt settlement to avoid further financial loss. You can try to negotiate a debt settlement on your own if your pocket permits to repay the entire outstanding at a time for one-time settlement of dues, but sometimes it's typically done through third parties like debt relief companies, which you may hire to negotiate the settlement matter with the lender on your behalf. With this method, you will make payments to the debt settlement company rather than your creditors/lenders, along with a certain amount of fees/service charges. Debt settlement is an agreement between a lender and a borrower in which the borrower repays a portion of a loan balance and the lender forgives the remainder. You may consider starting the negotiation by offering to pay 25% or 30% of your outstanding balance in return for forgiveness on the rest. But, it may be noted that while there are legitimate debt relief/settlement companies, there are also many scam operations. So, if you're considering one, the Consumer Financial Protection Bureau(CFPB) suggests for contacting your state attorney general's office and local consumer protection agency to ask if they have any consumer complaints on file about that company. Some states require that debt settlement companies be licensed, which may provide some added protection. Although a debt settlement can offload some of your financial crisis, there are also a few potential risks and downsides to consider. First, a debt settlement will affect your credit score. That will make it more difficult for you to get credit or good interest rates in the future. Another potential drawback is that when you settle debt, you could face tax consequences. Further, a quick counselling session with a certified credit counsellor can help you to discover your options and choose the right path forward to settle the debts/loan with the Bank.
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A.Dear Client
our father should try to maintain open communication with the lender. Explain the financial difficulties he is facing and request some time or alternative repayment arrangements. Some lenders may be willing to restructure the loan by extending the repayment period or adjusting the terms to make it more manageable. Your father can discuss this possibility with the lender. In India, there are consumer protection laws in place, and financial institutions are expected to adhere to fair practices. If your father feels that the lender is engaging in harassment or unfair practices, he can explore the legal avenues available to him.Your father may consider seeking advice from debt counseling services. These organizations can provide guidance on managing debts and negotiating with creditors.
our father should try to maintain open communication with the lender. Explain the financial difficulties he is facing and request some time or alternative repayment arrangements. Some lenders may be willing to restructure the loan by extending the repayment period or adjusting the terms to make it more manageable. Your father can discuss this possibility with the lender. In India, there are consumer protection laws in place, and financial institutions are expected to adhere to fair practices. If your father feels that the lender is engaging in harassment or unfair practices, he can explore the legal avenues available to him.Your father may consider seeking advice from debt counseling services. These organizations can provide guidance on managing debts and negotiating with creditors.
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