How to apply for EMI moratorium

Covid-19 lockdown: How to apply for EMI moratorium, step by step guide

To fight the Covid-19 crisis, as a measure of solidarity, RBI has permitted all Indian Banks / Indian Financial Institutions to offer its customers up to 3 months moratorium on their EMI payments falling due between March 1, 2020, to May 31, 2020.

If you choose EMI moratorium, the bank will not ask for any EMI Payment till May 31st 2020. But the interest on your EMI will continue to accrue on the principal outstanding for the period of the moratorium at the contracted rate of the loan.

Only the tenure of your loan will get extended by the corresponding period for which the moratorium has been availed. If you want to get this EMI moratorium, you have to provide your consent to the bank.

There are two ways which you can follow:

• First, you can call on this number and follow the instructions - 022-50042333, 022-50042211
• Second, you can apply for the EMI moratorium.

According to HDFC bank, you need to keep your Loan Account Number handy for providing your confirmation. In case any of the information provided by you is incorrect, the bank will be unable to process your request. Here is a step by step guide which you can follow to apply for the EMI moratorium.

                                (image source: HDFC website)

How to apply for the EMI moratorium

Follow the below-given steps to apply for the EMI moratorium.

Step 1: First you need to visit the official website of HDFC.

Step 2: Next on the home page you need to tap the link which says, 'Financial Assistance and Loan Moratorium.'

Step 3: Scroll down the EMI moratorium page and tap the link which says, 'Submit your request in a few clicks here.'

Step 4: Application page appears on the screen, read the instructions and fill the details.

Step 5: Enter your Bank Registered Mobile Number and validate.

Step 6: Next you need to enter your First Name.

Step 7: After that, you can enter your Middle Name, if you have one. (It's optional)

Step 8: Next you need to enter your Last Name.

Step 9: After entering your name, you need to enter your Email ID (It's optional, if you don't have an email ID, you can leave it blank)

Step 10: Next enter your date of birth in DD/MM/YY format.

Step 11: Now you need to select the Product (Type of loan)

Step 12: Next you need to enter your Loan Account Number.

Step 13: Enter your EMI Amount (Optional)

Step 14: After filling all the details- you need to select your EMI pay choice, there are two options, select anyone.

• "I will defer my unpaid EMIs falling due between March 1, 2020 and May 31, 2020 and I understand that interest shall continue to accrue on the outstanding portion of the term loans during the moratorium period."
• "Keep my EMI payment as per schedule I don't want to pay extra interest by delaying my EMIs."

Step 15: After selecting the preferred option, you need to select the declaration, "I authorize HDFC Bank and its representatives to Call, SMS or communicate via WhatsApp regarding my application. This consent overrides any registration for DNC / NDNC. I confirm I am in India, I am a major and a resident of India and I have read and I accept HDFC Bank's Privacy Policy."

At last, you need to tap on the Submit to submit all the details and follow the instructions given on the screen. If you have the case of multiple products you can repeat the given process for the other loan products you hold.

As per RBI guidelines, Interest shall continue to accrue on the outstanding portion of the term loans during the moratorium period. Deferred instalments under the moratorium will include the following payments falling due from March 1, 2020, to May 31, 2020:

• Principal and/or interest components
• Bullet repayments
• Equated Monthly instalments
• Credit card dues.

According to the bank, the customers with adequate funds should continue paying. Doing so can help them in avoiding the extra interest charges and tenure extension. The customers who want to apply for the EMI moratorium can follow the above-given steps and the customers who do not want the EMI moratorium, no further action is required from the customer's side.

(Information source: HDFC website)

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