Emi Moratorium

Frequently Asked Questions (FAQ) on EMI Moratorium

RBI Covid-19 Regulatory Package: EMI Moratorium

These are unprecedented times and it is a time that we need to be together to fight this COVID-19 crisis.

In line with the RBI guidelines and to show our solidarity in standing with you, PADMASAI FINANCE PVT LTD is offering it’s customers EMI moratorium as a relief measure.

We understand in this current situation there may be disruptions in business leading to low cashflows 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.

We advise you to stay safe and healthy and continue to pay your EMI’s from your home through our XPRESS Pay App or https://padmasai.in/clientportal.

PSF is channel Partner to various NBFC’s like Bajaj Finance, Shriram Transport, Hinduja Leyland Finance, Fortune Integrated Assets Finance and Wheel EMIs. You have been funded by the above-mentioned channel partners as per the eligibility through us. Basis EMI Moratorium approval received, we are providing the same to you.

Do check below on details of the EMI moratorium package and also guidance on how you can avail the EMI moratorium.

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 NBFC’s to offer it’s customers up to 3 months moratorium on their EMI payments falling due between Mar 1st, 2020 to May 31st, 2020.

PSF have decided to offer moratorium for the months of April 2020 and May 2020 based on approvals received from concerned channel partners

2. Who is eligible?

(i) All PSF’s customers who have availed of Auto Loans (2w & 3w & 4w) by way of Instalments on or before 28th February 2020 are eligible.

(ii) Customers having overdues upto 1 EMI as on 31st March 2020 are eligible. Customers having more than 1 EMI overdue may also opt for the moratorium, and their requests shall be considered by PSF based on its merits. But PSF reserve the right to reject the request.

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

If you choose EMI moratorium,
– PSF will not ask for any EMI Payment for April 1st 2020 to 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 receive your EMIs as per 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.

5. 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.

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.1: Loan amount Rs. 2 Lacs, remaining tenor 23M, Last EMI on 5-Feb-22, opting for 2 months Moratorium i.e. Apr-20 & May-20 EMI. The additional interest would be about Rs. 10,930/-, and the resultant tenor would increase by 1.34 months, and the last EMI including the interest recovery would be on 5-Jun-22.

– Illustration Auto Loan.2: Loan amount Rs. 2 Lacs, remaining tenor 23M, Last EMI on 5-Feb-22, opting for 1 months Moratorium i.e. Apr-20 EMI. The additional interest would be about Rs. 5081/-, and the resultant tenor would increase by 0.62 EMI, and the last instalment would be on 5-April-22.

7. How do I get this EMI moratorium?

You will have to provide your consent to PSF by clicking on PSF Client Portal or give a letter in writing or Email-support@padmasai.in requesting for moratorium.

Format of the Email or Letter is provided below:

Subject: Application for EMI Moratorium.

Loan Number:

I wish to defer my unpaid EMIs falling due between April 1, 2020 and May 31, 2020 on the above referred Loan Number and I understand that interest shall continue to be charged on the outstanding portion of the term loans during the moratorium period.

Sd/- of Borrower

8. How do I apply, in case my application is rejected due to a mismatch in my registered mobile number or unavailability of a registered mobile number?

You can follow the same process as listed in Q.7 above and write an e-mail or submit a letter at your nearest branch in the suggested format.

9. I have more than one loan from PSF (Eg. Auto & 2w 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.

10. 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 of April 2020 and May 2020. Please follow the process given above for availing the moratorium. EMI’s paid will not be refunded under any circumstances.

11. Does the moratorium affect my Credit Rating?

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

12. I have given EMI moratorium request and request got approved by PSF. Can I revert my request back later after few days or months?

If your Covid-19 Regulatory Package: EMI Moratorium request got approved by us, you will not be eligible to cancel the request at later point of time. Please be careful and exercise due diligence before exercising you right to moratorium.

13. Will the interest continue to accrue during the moratorium period?

Yes, the interest will accrue on your loan during the moratorium period. The EMI will be recalculated at the end of the moratorium period so that the Principal together with the Accrued Interest get amortised by increasing the balance term of the loan. EMI Amount shall remain the same.

Kindly note that the moratorium is a deferment of payment and not a waiver of interest.

Avail Moratorium Option