RBI recommendations for financing data recovery make sure the process is advantageous to the lending company while also respecting the borrower’s legal rights and requirements.
There’s two major methods for loan healing –
Procedure for Financing Healing
One of several conditions that determines a loan recovery process ‘s for mortgage standard. Lets see the exact same with instances.
Scenario A
Imagine a predicament in which a borrower, Mr. X are financially responsible with a good credit history. But because unforeseen situations (for eg. the COVID-19 pandemic), he’s destroyed their tasks and is also unable to repay the loan.
In this situation, the lender may offer him one of several appropriate possibilities –
Expansion of payment tenure which decreases the EMI levels