Education loan
Anish
(Querist) 16 July 2017
This query is : Resolved
Hi!
I have taken an education loan of around 2L which presently is around 2.7L . My course ended on June 2016. I did not inform bank about my job and my moratorium of six months ended in January 2017. I informed them in May 2017, I think they already came to know via CIBIL data. The manager who was present then asked me to pay around 70k to bring my account out of NPA and make it "standard" , so that they are able to fix EMIs. I said that I wont be able to pay that amount as I dont earn that much. He said me to write an application in which to mention that I needed long time to pay back and that my full amount be considered for EMI.
He told me that he will inform me about my EMIs by end of the June.
No information came.I went to bank and realised that the manager had changed.
I told my case to the new manager. She took my number although it was already in their records and said to soon inform me about my EMIs.
But after 10 days, a notice came to my house to be present the next day for hearing in Lok Adalat. The notice was served hardly 20hours before hearing without even informing me. I was shocked.
They new manager is now pressing me to pay up 74k to take my account out of NPA.She says that after I pay that amount she will be able to tell me the EMI amount.
Kindly guide me whether it is really required to pay 74k at one time or is she trying to fool me?It is very very hard for me to pay that amount at one time.
Also is it correct to serve a notice of Lok Adalat hardly 20hours before?
I had some work the next day which I had to cancel in order to be present in Lok Adalat. Aren't they trying to intentionally show me as a defaulter?
Where should I complain regarding this?
Rajendra K Goyal
(Expert) 16 July 2017
You have taken loan for your education, it was your duty to pay it in time.
You have not started payment after completion of your education, after moratorium period over and even after you joined job.
Bank is not concerned about your employment, it has to follow RBI guidelines regarding NPA.
Better arrange the money and pay the same.
Rajendra K Goyal
(Expert) 16 July 2017
You have received notice for Lok Adalat, it means Bank has proceeded with legal procedure to recover.
Appear in the Lok Adalat and offer the amount you can pay in full settlement of the account. Bank may forgive considerable amount of interest if full amount is paid.
You can propose the time in which you would pay full amount with interest, if propose to pay in installment.
Rest you should discuss with local lawyer after showing full case file.
Guest
(Expert) 16 July 2017
Agree with Mr.RK Goyal
Guest
(Expert) 16 July 2017
Well advised please ............
Guest
(Expert) 16 July 2017
Discuss with Local Lawyer Please...
Guest
(Expert) 16 July 2017
Agree with Expert......
Anish
(Querist) 16 July 2017
I agree it was my duty..but was it not the duty of bank to guide me correctly and for your information I appeared before the Lok Adalat ...the bank representative was left red faced as I said that I do not want any kind of settlement but want to pay full amount and have been for no reason dragged to Lok Adalat..Bank officials seemed least pleased after seeing that I attended Lok Adalat..they wanted me to default..I don't know what happiness they would have got...I pleaded to kindly fix the EMI..Lok Adalat also agreed and told them to fix EMI and inform me...I had the copies of my letters which I had submitted in bank in which I had more than one time demanded for fixing EMIs...Lok Adalat however did not tell me whether I need to pay that 74k or not at one time and told the bank officials to make us understand how and why they were demanding 74k at a time and sort it out amongst us.
My question was basically regarding how and why my loan was made NPA even if I had met bank 2 months back and can't the 74k be taken and addded while calculation of EMIs rather than coughing it out at one go?
If I was that much capble of coughing such big sums at a time I would have already done that two mnths back..
Request you to kindly guide me on this point..
Also was it not incorrect on part of the bank to serve me a Lok Adalat notic 20 hours before..someone took the letter fortunately..otherwise I would have defaulted and not be present on the time of hearing.
Dr J C Vashista
(Expert) 17 July 2017
You have the only option to contest your case through a local lawyer.
P. Venu
(Expert) 17 July 2017
Lok Adalat cannot force any decision in the matter. It could only by means of consent of the parties. You can place your constraints before the Lok Adalat and try to work out a settlement. However, any such settlement may affect your CIBIL score.
Rajendra K Goyal
(Expert) 17 July 2017
Being an educated person, you have signed loan documents, you should have asked the copy of loan documents from Banker.
You have signed terms and conditions, legally no need to advice you further by the Banker.
There can be a large no. of excuses you can give and blame all for not paying your loan even after getting job.
Account turns NPA as per RBI guidelines, Bank has no option to stop it even if you have met them hundred times. It is risky for the Banker not to show accounts as NPA as per RBI guidelines / disobey guidelines.
Rajendra K Goyal
(Expert) 17 July 2017
Payment and keeping account regular for certain period may drag it out of NPA category.
From your post it appears no settlement was reached before the Lok Adalat.
Since you want to pay full amount, you can start paying what ever maximum you can spare, it would reduce liability.
You can calculate your EMI online simply by feeding 2-3 information.
