Tamil Maanila Congress president G.K. Vasan on Monday demanded that nationalised banks increase the tenure for EMI payments to six months, without adding the borrowers struggling to make such payments to the defaulters’ list. He also urged the banks to provide loans to senior citizens, taking into account their income, assets and other factors.
In a statement, Mr. Vasan said, “When a person doesn’t pay EMI for 90 days, he or she is added to the defaulters’ list. They end up not being able to avail themselves of any other loan, and the banks also indulge in certain activities to collect loan repayments from them. The Central government should look at revising the norms.”
Mr. Vasan said sometimes, people are unable to pay back their loans in time due to economic hardship or poor business.
“This [90-day] time period should be increased to six months. Also, public sector banks should give loans to people above 60 years of age. They should look at their income, assets etc. to give them loans so that business will increase,” he said.