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Loan moratorium: You can avoid extra interest as most private banks offer 'opt-in' option

India city Mumbai covid-19 2020 information crisis
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Mumbai: Most of the private sector lenders have decided to go for the "opt-in" option on loan repayment moratorium, putting the onus on the customer to take the initiative of informing the bank of their choice to go for the three-month breather offered by the Reserve Bank of India.

Largest private sector lender HDFC Bank said it would encourage customers with adequate funds to continue repayments to avoid the extra interest charges and tenor extension of the loan.

The Reserve Bank last Friday announced a three-month moratorium on loan repayments in the wake of COVID-19 crisis for dues to be paid between March-May 2020 and left it to the bank to implement the same.

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