FAQs - Rural Finance

a. The Reserve Bank of India (RBI) has announced a regulatory package for mitigating the impact of the slowdown of economic activity and loss of livelihood due to the pan India lockdown imposed to counter the spread of COVID-19

 

b. As per RBI’s circular, companies are permitted to grant a moratorium for further three months on payment of all instalments falling due between June 1, 2020 and August 31, 2020. The interest will continue to accrue on the outstanding amount of the term loan availed during the moratorium period.

 

c. RBI has also clarified that this facilitation is only a form of a temporary deferment of dues and the accumulated accrued interest due to the availed moratorium option will be payable after the end of the moratorium period.

The objective of this package is to provide relief to individuals who may face temporary financial constraints arising from the COVID-19 pandemic. We hope that this support will help individuals who are facing financial adversities and challenges during this period. 

Relief offered to the customers is in the form of deferment of EMIs falling due between June 1, 2020 and August 31, 2020. 

No. Moratorium is not a waiver of EMI. It’s a deferment of payment to help customers in the difficult times due to COVID-19. 

When you avail the moratorium, while your EMI shall get deferred, the interest will continue to be charged for the moratorium period and the same will get added to your overall loan repayment amount. This will result in an increase of your overall outflow. Hence, if the customer has the funds to pay the EMI, we recommend you to make the payment as per the existing repayment schedule. 

Interest will continue to accrue on the outstanding loan amount, for which moratorium is provided. It will be at the same interest rate as contracted for the respective loan. Such interest shall be recovered as an adjustment to the last EMI or as additional instalment/s at the end of the loan tenor and shall be implemented after suitably communicating the same to the borrowers. 

We are pleased to confirm that there will be no cheque bounce or overdue charges that will be levied on the customer’s account for EMIs covered under the moratorium. 

As per RBI guidelines released, moratorium is extended only for instalments which are due between 1st March, 2020 and 31st August, 2020. There will be no moratorium on overdue prior to 1st March, 2020. Hence in case you have any overdue instalments and/ or other dues pertaining to the loan repayment prior to 1st March 2020, we request you to kindly pay such overdue instalments/ other overdue amount immediately, to avoid normal penal charges.

 

To regularize the said dues online, you may use any of the following self-service channels as below:

       a. UPI platform

          1. Enter your virtual UPI id as given below product wise:

 

Product       UPI Payment
Two Wheeler      LNTTW<full LAN>@sc
Farm Equipment Finance      LNTFL<full LAN>@sc
Consumer Loan      LNTCL<full LAN>@sc
Micro Loan      LNTML<full LAN>@sc

 

 LAN refers to the Loan Account Number

         2. Click on verify button and enter the payment amount

         3. You will receive confirmation on successful payment with transaction number.

 

 

       b.Click to pay your Loan due online through Paytm: https://paytm.com/loan-emi-payment

       c.Log on to LTFS website to pay your loan dues: https://payments.ltfs.com/

Two-Wheeler Loan, Farm Equipment Loan, Consumer Loan & Micro Loan avail moratorium by registering their loan account numbers through the LTFS website by clicking here  https://docvault.ltfs.com/consentApp/#/login

       a. Click on the moratorium link

       b. Fill up the requisite details – Loan account number, registered mobile number and registered date of birth

       c. Once you see the acknowledgement message on the screen, the process of applying for the moratorium is complete.

 

Please note that you can apply for moratorium up to three days prior to your EMI due date. 

In addition to the above, you may also get in touch with our local branch representatives for information on moratorium.

No, your credit history/score will not be affected during this moratorium period. However, any delays or overdue in the account prior to the start of the moratorium period or after the end of the moratorium period will impact your credit score.

Yes. You will have to make an individual application for every month of moratorium that you wish to apply for, by clicking here - https://docvault.ltfs.com/consentApp/#/login. 

 

Please note that you can apply for moratorium up to three days prior to your EMI due date.

No. Moratorium facility is available only up to 31st August, 2020 as per the current RBI directives.

If you avail the EMI moratorium, interest will be levied on the outstanding loan amount at the contracted rate of the loan, for the period of EMI moratorium. Such interest will be collected by extending the original tenor of the loan accordingly.

Yes, you can opt for EMI moratorium for each loan that you have availed from us individually. Please remember that additional interest for the EMI moratorium period will be applicable for each loan separately.

No late payment charges or penal interest will be charged during the moratorium period. However, if you avail the EMI moratorium, interest will be levied on the outstanding loan amount, at the contracted rate of the loan for the period of EMI moratorium availed.

Status of your account and revised repayment schedule post opting for moratorium will be communicated to you in due course by the Company.

No. Once you opt for the moratorium, interest for the moratorium period shall be recovered as adjustment to the last EMI or as additional instalment/s at the end of the loan tenor. 

The terms related to foreclosure and part payment will remain as per the contracted agreement signed between the Company and the customer.

No additional documents are required for availing the moratorium.

Moratorium will be offered only for the month you wish to avail for. At any point in time, if you wish to make the payment, you can do so by clicking on the below payment links –

 

a.     UPI platform.

        1. Enter your virtual UPI id as given below product wise:

Product UPI Payment
Two Wheeler LNTTW@sc
Farm Equipment Finance LNTFL@sc
Consumer Loan LNTCL@SC
Micro Loan LNTML@SC

                LAN refers to the Loan Account Number

 

        2.    Click on verify button and enter the payment amount

 

        3.    You will receive confirmation on successful payment with transaction number.

 

b.    Click to pay your Loan due online through Paytm: https://paytm.com/loan-emi-payment

 

c.    Log on to LTFS website to pay your loan dues: https://payments.ltfs.com/

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