Dear Kogta Financial Customers,
- We wish you and your near ones are safe & healthy in these challenging times. To support your financial growth and liquidity in the current scenario, we are happy to offer moratorium facility 2.0 on installments due between March 01, 2020 to August 31, 2020 ('moratorium period') to all eligible borrowers as per the Company policy and permitted in the Reserve Bank of India (RBI) guidelines in continuation to the earlier moratorium policy ending on May 31, 2020.
Eligible borrower means all borrowers outstanding as on March 31, 2020 except
- Borrowers with default in EMI repayment exceeding 210 days as on March 01, 2020, and
- Borrowers where underlying vehicle security has been repossessed by the Company.
- We shall continue to accrue interest on monthly compounding basis as per RBI guidelines. The interest accrued during the moratorium period shall be capitalized monthly to outstanding principal portion of loans for the purpose of calculation of accrual of interest.
- We consider that even though all of you may not be requiring moratorium for all six months as the lockdown relaxations have come in place, you may require moratorium benefit in part during the six-month moratorium period allowed by RBI. Therefore, we shall do collection follow ups and shall present ACH/other banking instruments for all of you. But be assured that this will not impact your track record and we shall not levy cheque/ACH bouncing charges during the moratorium period. Inability to pay EMI in any month during the moratorium period shall automatically mean that moratorium is required for that particular month.
- Please note that the interest shall continue to accrue during the moratorium period which shall be capitalized to the outstanding principal of loan requiring monthly installment to be recalculated and repayment schedule shall be revised for the revised residual tenure at the contracted interest rate. Customers are required to issue new NACH form/Cheque, if needed.
- Eligible borrowers are further revised to remain in touch with company executives and branch officers to avail the policy benefits regarding grant of moratorium and revised repayment schedule.
- Repayments made during the moratorium period shall be allocated to customer's loan account in the order as follows: Overdue instalment before the moratorium period, if any; Accrued interest while the account is in moratorium; Future principal
- Company shall take suitable legal recourse for recovery of the overdue EMI payable other than the moratorium period and shall levy financial charges in terms of loan agreement entered with the customer for the same.
- The moratorium on payments will not qualify as a default for reporting to Credit Information Companies (CICs)/credit bureau. Hence, there will be no adverse impact on the credit history of the borrowers.
- The Policy shall remain valid upto August 31, 2020.
For any further queries and clarifications please read frequently asked questions (FAQs) below or write to us at
Stay Safe, Stay Healthy!
Team Kogta Financial (India) Limited