As per the guidelines of Reserve Bank of India to combat Economic pressures amid Covid-19, HDFC has provided all its retail and corporate customers to avail up to 3 months from March 1st, 2020 to May 31st, 2020 repayment Moratorium and has released a list of guidelines/FAQs.

In line with the guidelines released by RBI and to show our solidarity in standing together as the country goes to lock down, HDFC Bank is offering it’s customers EMI moratorium and credit card outstanding moratorium as a relief measure.

“We understand that in this current situation there may be disruptions in business leading to low cash flows or the earnings of individuals and self-employed professionals may have been impacted. Our aim through implementing this relief package is to ensure that you can continue to take care of your family, your business and your own self and tide over this temporary situation.”, says HDFC Official Website.

Here are some Frequently asked Questions (FAQs) to understand the Moratorium Scheme.

1. What is the EMI moratorium provided for loans under COVID 19 – regulatory package?

The prevailing situation may pose a huge challenge for people at large. As a measure of solidarity, RBI has permitted all Indian Banks / Indian Financial Institutions to offer it’s customers up to 3 months moratorium on their EMI payments falling due between Mar 1st, 2020 to May 31st, 2020. 

2. Who is eligible?

  • All HDFC Bank customers who have availed of retail instalment loan or any other retail credit facilities prior to 1st March 2020 are eligible.
  • Customers having overdues prior to 1st March 2020 may also opt for the moratorium, and their requests shall be considered by the bank based on its merits.  
  • All Agri Loans (Kisan Gold Card) and Microfinance customers under the Bank’s Sustainable Livelihood Initiative are also eligible.
  • All Corporate as well as SME customers are also eligible. Our Relationship Managers will get in touch with you or you can contact them to get further details. 

3. What will happen if I choose the EMI Moratorium?

If you choose EMI moratorium,
  –   Bank will not ask for any EMI Payment till May 31st 2020.
  –   Interest will continue to accrue on the principal outstanding for the period of the moratorium at the contracted rate of the loan. 
  –   The loan tenure will get extended by the corresponding period for which the moratorium has been availed. 
  –   For example, if the EMI for the month of Mar’2020 has been paid and moratorium for April & May’2020 has been availed, then the loan tenure will be extended by 2 months.

4. If I do not want the EMI moratorium, what should I do?

If you do not want the EMI moratorium, no further action is required from your side. We will continue to bank your repayment instructions.
We encourage customers with adequate funds to continue paying during this period to avoid the extra interest charges and tenor extension. However, if you skip your EMI payment during this period, it is understood that you require EMI moratorium till May 2020.

 Why was my account debited when the RBI has announced a moratorium?

Opting for the Moratorium is entirely the customers’ choice. We understand that all our customers may not opt for the Moratorium given that there is an additional levy of interest payable under the terms of the Moratorium. If you wish to opt for the Moratorium, we would be happy to refund the EMI debited and register your Loan account under the Moratorium process.

6. What charges will I pay, if I avail of this EMI moratorium?

If you avail the EMI moratorium, there will be a levy of interest at the contracted rate of the loan for the period of EMI moratorium on the loan outstanding. Such interest will be collected by extending the original tenor of the loan accordingly.
   – Illustration Auto Loan: Loan amount Rs. 8 Lacs, remaining tenor 36M, Last EMI on 7-Feb-23, opting for 3 months Moratorium i.e. Mar-20, Apr-20 & May-20 EMI. The additional interest would be about Rs. 25,500/-, and the resultant tenor would increase by four months, and the last EMI including the interest recovery would be on 7-Jun-23.
– Illustration Salaried Personal Loan: Loan amount Rs. 4 Lacs, remaining tenor 48M, Last EMI on 4-Mar-24, opting for 2 months Moratorium i.e. Apr-20, May 20 EMIs. The additional interest would be about Rs. 15,000/-, and the resultant tenor would increase by 1.4 EMI, and the last instalment (40% of regular EMI) would be on 4-Jul-24.

7.    How do I get this EMI moratorium?

You will have to provide your consent to the bank through any of the following ways:
  –  Call on this number from your bank registered number and follow the instructions – 022-50042333, 022-50042211 ,
  –  Submit your request in a few clicks here
Note: Keep your loan account number handy before you start the process..

8.    I have more than one loan from HDFC Bank (Eg. Personal Loan & Car Loan). Can I get EMI moratorium for both the loans?

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

9.    What if I have already paid my EMIs and would like to avail the moratorium till 31st May 2020?

You can avail of the moratorium benefits for the unpaid EMIs. Please follow the process given above for availing the moratorium.

10.    Does the moratorium affect my Credit Rating?

No. Opting for the EMI moratorium will not affect your Credit Rating or Score. 

11.    Does this moratorium apply for Credit Card outstanding and Loans on Credit Cards?

Yes, the moratorium is available on Credit Card outstanding and Loans availed on Credit Cards for payments due from 01 Mar 2020 till 31 May 2020. 

The moratorium allows you to defer the payment till 31 May 2020. You are required to pay the minimum amount due or total outstanding and accrued interest charges on the due date after 31st May 2020.

12. Are all credit card customers eligible for this moratorium?

Yes. All retail credit card customers will be deemed eligible for the moratorium if they are regular with their payments on or before 01st March’20 on their credit card outstanding and loans taken on the credit card

13. How do I avail the credit card moratorium?

To avail the credit card moratorium,
(a) voluntarily defer paying the outstanding during this period i.e. make NIL payment
(b) turn off Auto Pay (in case the same is currently availed) through net banking / mobile banking to avail the benefit of the moratorium and reactivate the same post the end of moratorium period 

14. Will interest be levied for the moratorium period on my credit card outstanding and loan on credit cards?

Yes, interest will be levied as per the contracted rate on the card.  Opting for 3 months moratorium allows you to defer the payment of your credit card dues and loan instalments taken on credit card till 31st May 2020. We encourage customers to make full payments towards the outstanding wherever possible to avoid / minimise levy of interest charges for this period.

Kindly note that the moratorium is a deferment of payment and not a waiver of interest. You are required to pay the minimum amount due or total outstanding along with accrued interest charges on the due date after 31st May 2020.

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