What can You Do If You are Unable to Pay the Monthly EMI on Time?
Nov 17, 2017 Home Trading Steps
Life is uncertain and no one can predict what the future holds for us. Some unwanted situations may arise leaving us in hot waters. Sometimes such situations can also affect us monetarily. If you are loan borrower, then you may find it difficult to pay the monthly EMI in such situations.
Here’s what you can do if you have landed in trouble and are not able to pay EMIs:
1.Talk to the lenders:
Avoiding their calls or having communication gap can turn out to be a serious mistake. Don’t forget that loans are a liability and you are bound to pay them off. If by any chance you are not able to talk to them directly, make sure you drop them an official email citing the reason for the delay in payment. Not being able to pay the banks can put you in jail as well. Make sure your bank knows the reason for the delay in monthly installment payment.
2.Tell them the truth:
Informing them about the situation and telling them the full facts about it will help you in your favour. Hiding things from them or telling them half facts may not be a good idea. Also, let them know about the duration of which you won’t be able to pay the EMI, say three months or five months. Telling them the whole truth will help them understand the situation in a better way.
3.Keep them in loop”
When you land up in monetary trouble, some of your savings might help in paying the monthly EMI for a couple of months but it won’t help in a long time. Let your bank know about the situation as soon as you land in one. This will help them to understand your case and understanding that you have a genuine problem and not faking it.
4.Other options:
Generally, the first thought that strikes the loan borrowers that if they are not able to pay the EMI then the bank will sell their home. Well, it only happens in worst case scenario. There are few things that you can do to avoid the situation.
•Ask the bank to give you EMI holiday when you are going through financial trouble and start paying the extra amount once the holiday is over to compensate for it. This will help you ease the trouble of paying EMI while you are going through difficult times.
• If the situation is worse and you don’t see it getting better anytime sooner or later, settle with your bank. In such cases, banks take the lump sum amount of money in advance and settle the case. You will have to convince the banks hard of the same. Also, this will reflect badly on your credit report and you might find it difficult to take any other loan in the future.
•You can also get your home loan restructured, which means that the home loan EMI will reduce and stretch the tenure of the loan. this can effectively solve the problem with a home loan during difficult times.
Here’s what you can do if you have landed in trouble and are not able to pay EMIs:
1.Talk to the lenders:
Avoiding their calls or having communication gap can turn out to be a serious mistake. Don’t forget that loans are a liability and you are bound to pay them off. If by any chance you are not able to talk to them directly, make sure you drop them an official email citing the reason for the delay in payment. Not being able to pay the banks can put you in jail as well. Make sure your bank knows the reason for the delay in monthly installment payment.
2.Tell them the truth:
Informing them about the situation and telling them the full facts about it will help you in your favour. Hiding things from them or telling them half facts may not be a good idea. Also, let them know about the duration of which you won’t be able to pay the EMI, say three months or five months. Telling them the whole truth will help them understand the situation in a better way.
3.Keep them in loop”
When you land up in monetary trouble, some of your savings might help in paying the monthly EMI for a couple of months but it won’t help in a long time. Let your bank know about the situation as soon as you land in one. This will help them to understand your case and understanding that you have a genuine problem and not faking it.
4.Other options:
Generally, the first thought that strikes the loan borrowers that if they are not able to pay the EMI then the bank will sell their home. Well, it only happens in worst case scenario. There are few things that you can do to avoid the situation.
•Ask the bank to give you EMI holiday when you are going through financial trouble and start paying the extra amount once the holiday is over to compensate for it. This will help you ease the trouble of paying EMI while you are going through difficult times.
• If the situation is worse and you don’t see it getting better anytime sooner or later, settle with your bank. In such cases, banks take the lump sum amount of money in advance and settle the case. You will have to convince the banks hard of the same. Also, this will reflect badly on your credit report and you might find it difficult to take any other loan in the future.
•You can also get your home loan restructured, which means that the home loan EMI will reduce and stretch the tenure of the loan. this can effectively solve the problem with a home loan during difficult times.
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