*Supreme Court to re- hear today, the interest waiver Case on Loan Moratorium*
The petition for a waiver of interest accrued during the moratorium period will be heard again by the Supreme Court today, 17th June.
In the wake of the coronavirus crisis and the ensuing lockdown, the RBI had allowed banks to give relief to borrowers by way of a three-month moratorium on loan repayments. This was extended to six months in May. The petition is for seeking complete waiver of the interest accrued during the period of moratorium.
*Impact – Negative for banks & NBFCs if asked to wave-off intrest on loans and Positive if it goes the other way.*
The petition for a waiver of interest accrued during the moratorium period will be heard again by the Supreme Court today, 17th June.
In the wake of the coronavirus crisis and the ensuing lockdown, the RBI had allowed banks to give relief to borrowers by way of a three-month moratorium on loan repayments. This was extended to six months in May. The petition is for seeking complete waiver of the interest accrued during the period of moratorium.
*Impact – Negative for banks & NBFCs if asked to wave-off intrest on loans and Positive if it goes the other way.*