Sunday, May 26, 2019 | ePaper

BB offers special policy for loan defaulters

  • Print
Staff Reporter :
Bangladesh Bank (BB) has rolled out a 'special' loan rescheduling policy allowing all the defaulters to pay off their loans with relaxed terms and conditions.
BB issued a circular in this regard on Thursday citing that defaulters will get 10 years, with a one-year grace period, to pay back their outstanding loans.
All the defaulters--small, big and large--will be entitled to get the facility on the basis
of banker-customer relationship.
The circular tilted, "special policy on loan rescheduling and onetime exit' also asked banks' to exempt all the previous interest against principal amount while regularizing loans of the defaulters.
Under the central bank's new policy, borrowers' loan accounts classified as bad/loss as on December 31, 2018, will be eligible for getting exit facility on the basis of banker-customer relationship.
Defaulters will need to make a down payment of maximum 2 percent of their outstanding loans, with 9.0 per cent interest rate, for regularising their loans.
Instalments realised from defaulters previously cannot be considered as a down payment and the interest rate will be charged from January this year.
The defaulters have to pay installments quarterly and failure to pay two consecutive installments would result in cancellation of the rescheduling and it would be turned into bad/loss account.
A loan defaulter will have to file application to his/her corresponding bank to get the facility. If the aforesaid period is elapsed, no application will be considered for processing, said the circular.
As of December last year, the amount of defaulted loans in the banking sector stood at Tk 93,911 crore -- 10.30 percent of the total outstanding loans, and there are over 2.66 lakh loan defaulters, according to BB data.

More News For this Category

Cocktail hurled at police van

Two people, including a female traffic police officer, were injured in a crude bomb explosion in the city's Malibagh area on Sunday night.The injured are Rasheda Akhter Lovely, 28, an

DUCSU VP Nur assaulted again

DUCSU VP Nur assaulted again

Staff Reporter  :The Vice-President of Dhaka University Central Students Union (DUCSU), Nurul Haque Nur, was assaulted again allegedly by 30 activists of Bangladesh Chhatra League (BCL) at Sathmatha in Bogura

Bangladeshi shot dead in US

Bangladeshi shot dead in US :A Bangladeshi national was shot to death by miscreants in Detroit City, Michigan State of the United States. The deceased was identified as Jainul Islam, hailing from Kaziband village

Bangladeshi shot dead by BSF

UNB, Dinajpur :A Bangladeshi national was shot dead by members of Indian Border Security Force (BSF) along Kathalia Para border in Biral upazila early Sunday.The deceased was identified as Alam,

Fake foreign brand cosmetics seized

Staff Reporter :The fake foreign brand cosmetics have flooded the Gulshan's 'Pink City' market in the capital. Almost each and every shop sale such substandard cosmetics labeling different reputed brands.The

Khaleda files writ against move to shift trial

Staff Reporter :BNP Chairperson Khaleda Zia on Sunday filed a writ petition with the High Court challenging the legality of the government notification, which says Niko case filed  against her

2 panels to probe medicine recovery at Satkhira hospital

UNB, Satkhira :Two probe panels have been formed to look into the recovery of huge medicines from under the ground on the Satkhira Medical College Hospital premises.A total of 10

Stop extortion on roads, highways: IGP

Staff Reporter  :Inspector General of Police (IGP) Dr. Mohammad Javed Patwary has ordered a zero-tolerance against extortion on Roads and Highways across the country ahead of the Eid journey."Departmental action

11 including 3 motor cyclists killed in road crashes

Staff Reporter  :Reckless driving continues on the streets and death procession is becoming larger just ahead of Eid Journey. At least 11 persons including three motorcyclists in Chattogram were killed

Amethi: Former village head who campaigned for Smriti Irani shot dead

IANS :A former village head said to be close to Bharatiya Janata Party leader Smriti Irani was allegedly shot dead in Amethi district of Uttar Pradesh, PTI reported on Sunday,