RBI extends loan repayment window to 90 days

The Reserve Bank of India (RBI) has asked lenders to provide borrowers 90 days for repayment of housing, car, farm and other loans worth up to 1 crore rupees, saying that the dispensation will apply to dues payable between 1st November and 31st December. In a notification, RBI said, on a review, it has been decided to provide another 30 days over and above the existing 60 days. 

So, borrowers together get 90



days from getting the account classified under non-performing asset (NPA) category. It said, running working capital accounts or crop loans with the sanctioned limit of 1 crore rupees or less would be eligible for this benefit. Last month, the RBI had provided additional 60 days for repayment of loans worth up to Rs 1 crore. The central bank also came out this special dispensation for farm loan earlier this week.