SBI simplifies EMI deferment process
by Rachel Chitra(Representative image)
BENGALURU: The State Bank of India (SBI) on Wednesday said that it has decided to extend EMI (equated monthly instalment) moratorium for another three months for all eligible customers without waiting for their request.
The move comes after the Reserve Bank of India (RBI) decided to extend the moratorium on repayment of all term loans for three more months till August 31, 2020.
The public-sector bank said it has reached out to 85 lakh borrowers for consent to stop their EMIs, standing instructions for auto-debits via SMS.
Customers just have to send an SMS "YES" to a designated virtual mobile number (VMN) if they wish to defer their loan payments. The bank has set a 5-day deadline for the customers to respond.
The SBI said the consent would stop standing instructions (SIs)/National Automated Clearing House (NACH) mandate for the EMIs due in June, July and August 2020.
SBI chairman Rajnish Kumar had last week said that close to 20 per cent of the bank's borrowers have availed the moratorium on term loans.