Home Loan Tips- Are you not able to pay the EMI of a home loan, can it snatch away your house, know the rules of RBI

We all have a dream in life that we have a beautiful house. For which we work hard, but still our earnings are not enough to buy a house. In such a situation, we resort to a home loan to buy a house, which seems to be a convenience in the beginning, but due to many problems in life, if there is a delay in paying EMI, then problems can increase, it can also snatch away your house, let's know what RBI's rule says-

Current status of lending

Widespread loan accessibility: Banks are actively providing loans for homes, vehicles, and personal expenses, making loans more accessible than ever.

Rising personal loans: There has been a significant increase in the use of personal loans and unsecured loans, especially credit cards.

CIBIL monitoring: Credit Information Bureau India Limited (CIBIL) closely monitors borrowing behavior, revealing alarming trends in unsecured lending habits among consumers.

Challenges faced by borrowers

EMI repayment difficulties: Many individuals face challenges in meeting their EMI obligations, leading to financial stress and potential defaults.

Consequences of default: Defaulting on a loan can have a serious impact on a borrower’s credit history and CIBIL score, making it difficult to obtain loans in the future.

RBI relief measures

Loan restructuring: Borrowers struggling to make repayments can opt for loan restructuring. This allows them to modify the terms of their loan, including the amount and repayment schedule.

Flexible EMI options: If a person is currently paying an EMI of ₹50,000, they can reduce the payment by up to ₹25,000 by restructuring it, providing them significant financial relief.

Avoiding default: By using these options, borrowers can reduce the immediate pressure of EMIs and avoid the negative implications of becoming a loan defaulter.