Categories: Bank News

Supreme Court extends bank loan repayment moratorium till September 28

Today (September 10, 2020), a bench of Justices Ashok Bhushan, R Subhash Reddy and M R Shah posted the matter of extension of loan moratorium for further hearing on September 28 and said that the court expects that the government and RBI actively consider all the issues and file the affidavit and place before it within two weeks the decisions taken in this regard.

The apex court while passing the interim order extended the loan repayment period of bank borrowers up till September 28, 2020, in which it had directed the banks not to declare as NPAs accounts that are unable to make repayments. “Accounts not declared NPA as on August 31 shall not be declared NPA till further orders,” the court declared.

The bench clarified that it was giving one last opportunity and thereafter the matter will not be adjourned.

Surendra Naik

Share
Published by
Surendra Naik

Recent Posts

What is Weighted Marginal Cost of Capital?

The marginal cost of capital (MCC) is the total combined cost of debt, equity, and…

3 hours ago

Meaning of WACC and factors affecting the WACC

The weighted average cost of capital (WACC) is the average rate that a business pays…

20 hours ago

Regulations on Interest Rate Resets on EMI based personal loans explained

The Reserve Bank of India (RBI) defines a personal loan as a type of unsecured…

21 hours ago

Determining the Proportion:  Preference V/s Equity Shares

A share is a unit of ownership in a company and has an exchangeable value…

1 day ago

Overview: Cost of Debt, Taxation, & Capital Structure

The cost of debt is the interest rate a company pays on its debt, and…

2 days ago

Various Theories/Approaches on Capital Structuring Explained

This article explains the assumptions and key aspects of approaches to capital structuring, including the…

3 days ago