Loan Settlement Rules: Those who settle loans should be careful, they will have to suffer these losses for 7 years..

Loan settlement tips: Different loans are made available to customers by banks for different financial needs. The interest rate of these loans also varies. Many times people take loans, but they are unable to pay the loan. In such a situation, they get a lot of relief by hearing about loan settlements. However, on settling the loan, they have to face many difficulties. You may have to face this difficulty for 7 years. Know the complete details about this in the news.

Loan settlement helps at this time-

Whenever we are unable to pay the loan, in such a situation the bank offers the option of time settlement i.e. OTS (One-Time Settlement) to its customers. For information, let us tell you that the biggest benefit of One Time Settlement (OTS rule) is that you also get relief from the recovery agent. Apart from this, you can also get relief from the trouble of paying EMI every month (Home loan EMI). However, OTS can also become a cause of trouble for you.

Difficulties increase if so many installments are not paid-

For information, let us tell you that if any person does not pay the installments for 91 days i.e. 3 months continuously after taking a loan from a bank (latest bank update), then in this situation the bank puts his loan in the category of non-performing asset. That is, in such a situation, the bank issues a notice (notice for loan) to the person taking the loan and asks him to pay the payment.

Know what is loan settlement-

Apart from the notice, the bank also sends the recovery agent (Recovery Agent rights) to the customer's house. Even after this, if there is no hope of getting the money back, then the bank gives the option of a one-time settlement (OTS benefits) to the customers. In this, the bank takes the principal amount of its loan and reduces the remaining interest rate and the remaining charges or sometimes even removes it. Due to this, the burden of the loan on the customer (loan ki OTS kese kare) also reduces and he also deposits the money in the bank.

Disadvantages of loan settlement-

Often people consider loan settlement as loan closure (Loan Closure kya h), but let us tell you that this is not at all. As long as you are unable to pay all the installments of the loan, then the loan is not considered over at that time. Because of this, the biggest disadvantage of loan settlement is that due to this the credit score (OTS effect on CIBIL Score) of the person taking the loan also decreases. Its direct effect is that if you do not get any kind of loan in the future. Apart from this, you have to face many types of problems. Because of this, its effect remains directly on your CIBIL Score for the next 7 years.

Do this after loan settlement-

If your financial condition is bad, due to which you are unable to pay the loan (Bank rules for Loan settlement) and you have got the loan settled, then later in case you get money, pay the interest and other charges of the loan (how to get a new loan). Because of this your CIBIL score (cibil score update rules) becomes correct and when you go to take a loan anywhere, you do not have to face any problems in taking the loan there also. Along with this, you also get the facility of loans easily.

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