Welcome to Moneylife Foundation’s CREDIT HELPLINEThe main objective of this Helpline is to provide information, advice and preliminary guidance to individuals needing help in credit related areas. Our objective is to arrive at a solution that is acceptable to both the borrower and the lender. We encourage responsible borrowing.

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You can access the Credit Helpline in the following ways
1. Post a query here. You will get a reply shortly
2. Set up a one-o-one meeting with our counsellors either at Moneylife Foundation's Mumbai office or by Skype.
To use our credit helpline please confirm that you have read our terms and conditions.
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OUR EXPERTS

Sucheta Dalal

Trustee - Moneylife Foundation

Suresh Prabhu

Mr Prabhu retired as Senior Vice President from HDFC Bank

R Bhuvaneswari

After serving Bank of Baroda for almost 40 years, Ms Bhuvaneshwari retired as Chief Manager in 2013.

Yogesh Sapkale

Yogesh Sapkale is Deputy Editor of Moneylife and writes on finance, credit related issues

I had taken a loan against Property for an amount of Rs.approx 4300000 from HDFC bank in 2011 to paid back in approx 130 installments. The property mortgaged to the bank is located in a prominent locality in Delhi and has a market value of Rs. 1,75,000/- . The loan was at floating rate ( at Base rate) of interest and the EMI was approx.60000/- per month. The initial rate of interest at 11.5 %. While Repo rates and market interest rates (cost of money) has reduced tremendously since then my rate of interest never came down. Even today it is around 11.9% although fresh loans for the same category are being given at 9.5%. I feel cheated and discriminated. Never thought that reputed institutions such as banks would follow such discriminatory policies.

The status of the loan account is active and I have paid all EMIs up to date. However, due to ill health and adverse market conditions my financial position kept deteriorating. Due to very tight Funds-flow I started having difficulty depositing my EMIs. There were some slippages and delays in depositing the EMI in time. The current Principal outstanding is approx Rs. 19,50,000/-

In view of the fall in income (which is less than the EMI) I requested the bank to extend my mortgage and reduce the EMI value by extending the period through a fresh restructuring of the Loan, so that I am able to repay the loan without defaulting. My request has been rejected. I have taken the grievance to the bank Ombudsman.

My Cybil credit score is around 760. This is because the delays of payments are reflecting in it. I have duly payed back two loans fully and I have never defaulted on any payments of credit cards ever.

I have applied for transfer of the loan to another bank. But I doubt if I could successfully transfer because of the above problem.

Please let me know what to do to get out of this mess that I find myself in. I am 65 years of age and am unable to take too much stress now.




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Sucheta Dalal Trustee - Moneylife Foundation

Suresh Prabhu Mr Prabhu retired as Senior Vice President from HDFC Bank

R Bhuvaneswari After serving Bank of Baroda for almost 40 years, Ms Bhuvaneshwari retired as Chief Manager in 2013.

Yogesh Sapkale Yogesh Sapkale is Deputy Editor of Moneylife and writes on finance, credit related issues

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