• Loans & credit card settlement with 6 months grace period to pay 1st EMI

My Question is like this:

I am a having Construction & interior works company. I have multiple loans because of COVID19 pandemic; my business is facing financial as well as work problems. I am not able to pay my EMI s towards my loans. 

2 years back I have invested on 2 apartments but the apartments are still under constructions & 85 percent of the building is completed; now the project work is stalled and The Builder has promised that he will re-start the work in April 2021.

My query is like this, I want to have the settlement for my all loans & credit cards, for 2 Credit cards I have got settlement & they gave me 70% discount on my total outstanding and I need to pay the balance 30% in 3 installments.

Now I want to have settlement for my all loans & Credit Cards, with 5-6 months grace period to start the EMI’s let them add interest for the future 6 months and come to the final settlement figures.

 In April 2021 the apartments work will get start and by June I can able to sell these apartments and pay the settlement amount to the concerned banks and NBFC’s.
Asked 3 years ago in Civil Law

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12 Answers

For other credit cards and loans approach bank for OTS 

 

2) it is fir bank to accept or reject your offer 

 

3) if bank rejects they can sue you to recover the outstanding loan amount 

 

4) suit would take years to be disposed of 

 

5) you can always settle in court once you are able to sell the apartment 

Ajay Sethi
Advocate, Mumbai
94514 Answers
7485 Consultations

5.0 on 5.0

You can always approach the Bank or the recovery agency with a similar plan and tell them about your plan to sell the flats. But eve if the building has not been completely constructed you can still sell off your flats but it would be undervalued. So you can put forward a proposal by giving them deadlines on your ends and they might work out a plan for you. 

For more assistance, you can contact us at- support@ or [deleted]

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Anik Miu
Advocate, Bangalore
8742 Answers
109 Consultations

4.7 on 5.0

Inform your repayment plan to the creditors and not us.

Acceptance of yur offer would depend on their choice. The law can not help you force them to accept your plan of action. 

Devajyoti Barman
Advocate, Kolkata
22774 Answers
484 Consultations

5.0 on 5.0

- As per the RBI, the bank should give proper time and offers for the settlement of loan amount.,  on the ground of health and sudden loss 

- If , the bank is not agree to give time, then don’t worry and let them to start legal action against you

- Firstly, the bank will issue demand notice prior to take legal action from the court. You can reply the same after narrating the whole story of business failure.

- Even, if the bank filed a case before the Court, you will have much time to repay the said loan amount and to settle the matter according your present situation.

- Hence, firstly try to communicate with the bank official for settle all loans , if not agree on your proposal then , you can request to the court after narrating your situation , in case bank files a case against you. 

Mohammed Shahzad
Advocate, Delhi
13087 Answers
195 Consultations

5.0 on 5.0

Hello,

  1. You will need to negotiate with the banks concerned about the acceptance of such a proposal from you, the borrower It would be totally at the discretion of the bank to agree to your proposal to defer the payments and allow the settlement as per your terms.
  2. The fact the construction of the projects where you have invested is stalled and the resumption of work in April this year is still a promise by the builder that was made to you and the fulfillment of the same is uncertain.
  3. In the end you will have to get the bank convinced about the proposal you are making. There is no legal impediments if the bank is willing.

S J Mathew
Advocate, Mumbai
3545 Answers
175 Consultations

5.0 on 5.0

You may have to talk to the lenders who have sanctioned the loans to you about this.

You already have negotiated with the 2 credit card institutions successfully.

Therefore yo may have to follow the same strategy with the other financial institutions.

If they agree to permit you to repay the loan on the terms you suggest or if you agree to their relaxed terms, you can proceed, or else, if the financial institutions initiate action through court for recovery of loan amount with interest, then you can get sufficient time to repay the entire loan once they file a money recovery suit.

You can inform court about your intention to repay in easy installments and to permit you to do the same as per court instructions, you'll then get sufficient time to repay them at your convenience. 

T Kalaiselvan
Advocate, Vellore
84709 Answers
2172 Consultations

5.0 on 5.0

You cannot restrain banks , NBFC from taking legal proceedings to recover the outstanding dues before DRT 

 

civil court have no jurisdiction wherein claim amount is more than Rs 10 lakhs 

Ajay Sethi
Advocate, Mumbai
94514 Answers
7485 Consultations

5.0 on 5.0

There's no necessity or reason to approach DRT for recovering the loan from the borrower. 

If the account becomes NPA then the sarfeasi act can be invoked. 

If there's any dispute in the said process then the aggrieved party may approach DRT  for relief or remedy 

 

 

T Kalaiselvan
Advocate, Vellore
84709 Answers
2172 Consultations

5.0 on 5.0

Dear Sir,

You have to get issue a legal notice and set out your terms so that bank may take a reasonable decision on your proposed terms.

Kishan Dutt Kalaskar
Advocate, Bangalore
6135 Answers
483 Consultations

4.8 on 5.0

- Yes, they can approach DRTs/DARTs before filing a civil suit , but only after issuing a notice to the borrower. 

- However , you can also approach therein against the bank. 

- Further, you can also approach the Consumer Forum as well on the ground of deficiency of services against the bank . 

Mohammed Shahzad
Advocate, Delhi
13087 Answers
195 Consultations

5.0 on 5.0

Thank you very much dear sir

My regards & best complement with you , and you can consult me for details response, if needed . 

Good luck.

Mohammed Shahzad
Advocate, Delhi
13087 Answers
195 Consultations

5.0 on 5.0

Dear sir/madam,

The NBFC Ombudsman is a senior official appointed by the Reserve Bank of India customer complaints against NBFCs for deficiency in certain services covered under  to the borrower for repayment of loan before the sale/ auction of the security; ... of grievance, the complainant must first approach the concerned NBFC.

  

 

Anik Miu
Advocate, Bangalore
8742 Answers
109 Consultations

4.7 on 5.0

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