RBI COVID-19 Package - Wholesale

Government of India on March 24, 2020 imposed a nation-wide lockdown in the country to contain the spread of COVID-19 virus impact. This lockdown was expected to create disruptions in business activities and thus eventually resulting in financial disruptions across financial sector in the country. To minimise the impact of such lockdown on the financial sector, RBI came out with a Covid-19 package on March 27, 2020 with multiple measures which included moratorium on financial instalments for borrowers amongst others.

In the view of the extension of the lockdown and continued disruption on account of COVID-19, RBI has permitted to extend the moratorium by additional three months i.e. from June 1, 2020 to August 31, 2020 through a circular issued on May 23, 2020.

Borrowers satisfying following criteria would be eligible to seek for instalment moratorium/interest deferment:

  • All customers having instalments falling due between June 1, 2020 and August 31, 2020.
  • The account can be Standard or otherwise.

Only instalments falling due between June 01, 2020 to August 31, 2020 will be eligible for a moratorium.

The borrowers requiring the moratorium shall approach Piramal Finance/ Company requesting the same.

Piramal Finance/ Company shall duly consider all cases eligible for the abovementioned dispensation, however, will reserve the right to grant the same. Piramal Finance/ Company has predefined criteria under which such moratorium will be granted. Borrowers are not eligible for moratorium automatically. The decision to grant the moratorium or not shall be communicated to borrowers.