SBI simplifies EMI deferment process for its term loan borrowers amid COVID-19

Mumbai: In line with recent RBIs announcement on extension of the moratorium on term loan EMIs by another three months, country’s largest lender, State Bank of India, has decided to extend the moratorium by another 3 months in loan accounts of all eligible customers without waiting for their request. Besides, the Bank has also proactively reached out to all of its eligible loan customers to obtain their consent to stop their Standing Instructions (SIs) / NACH mandate for the EMIs falling due in June, July and August 2020. For this, the Bank has simplified the process of stopping the EMIs by initiating a SMS communication to nearly 85 lakh eligible borrowers asking about their consent to stop EMIs. The borrowers have to reply with a YES to a designated virtual mobile number (VMN) mentioned in the SMS sent by the Bank within 5 days of receiving the SMS, if they wish to defer the EMIs.

The extension of moratorium and deferment of EMIs would give some respite to the borrowers amid COVID-19 outbreak.