Help regarding education loan settlement.

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Deal Cadet
Mufasa

My elder brother took 3.80Lakh education loan in 2012 from IOB, he started repayment from 2017. He has paid around 2 Lakh out 3.80Lakh. In mid of corona pandemic he lost his job & now unemployed. He is not in position for repayment the rest principle+interest+ penalties late fine etc. Now the bank has  handed this case to recovery agency. The recovery agents calls & visits address for recovery. Till now the recovery agents had visited 3 times a month. We are not in position to repay rest outstanding as my fatter has been retired & I have small electronic work shop for electronic repairing. My brother is searching job in construction companies but till date he is unable to find a suitable job. We want settlement of loan but the bank is not listing. My brother also visited branch for settlement but same No, No. Then I called a friend who had also defaulted his loan. Usne kaha ki recovery agent ko paisa mt dena & kuch month ya year me bank khud settlement offer krega. Mai nhi janata ki aisa hoga ya nhi agar kisi ke sath aisa hua kindly share your experience with loan settlement & handling recovery agents. We just want get rid out of this mess

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Deal Lieutenant Deal Lieutenant
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When your loan is NPA then bank will offer you settlement.  Recently my cousin brother did 4 lakh education loan from sbi in 40k. It totally depends on upper management and approval but drawback is it will mark written off in cibil score which will give issue in future availing future loan.

Super Stud Super Stud
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rockingneo wrote:

When your loan is NPA then bank will offer you settlement.  Recently my cousin brother did 4 lakh education loan from sbi in 40k. It totally depends on upper management and approval but drawback is it will mark written off in cibil score which will give issue in future availing future loan.

He won’t be able to avail loans or be someone’s guarantor in future i think…

These things haunt at a later stage

Blaze Blaze
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I did not apply for my PAN card at all till my education loan was settled off, I also had a ~3.8 Lakh loan from SBI, in 2017 it became over 9 lakh or something and I was usually always traveling due to project work as civil engineer. Finally they offered settlement, paid 2lakh and close and then got my pan card. I wanted to pay but just couldnt , the salary was measly would barely cover house expense. 

Deal Cadet Deal Cadet
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Ispawn2pwn wrote:

I did not apply for my PAN card at all till my education loan was settled off, I also had a ~3.8 Lakh loan from SBI, in 2017 it became over 9 lakh or something and I was usually always traveling due to project work as civil engineer. Finally they offered settlement, paid 2lakh and close and then got my pan card. I wanted to pay but just couldnt , the salary was measly would barely cover house expense. 

After how many months/years you got settlement offer from the Bank?

Deal Cadet Deal Cadet
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rockingneo wrote:

When your loan is NPA then bank will offer you settlement.  Recently my cousin brother did 4 lakh education loan from sbi in 40k. It totally depends on upper management and approval but drawback is it will mark written off in cibil score which will give issue in future availing future loan.

Cibil is not a problem in fact bank has already messed up his CIBIL. We just want to close the loan account but only settlement is offered. We can’t pay the outstanding amount.

Deal Cadet Deal Cadet
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xxxyyyzzz wrote:

He won’t be able to avail loans or be someone’s guarantor in future i think…

These things haunt at a later stage

Vaise v cibil score khrab ho hi gya to ab koi loan nhi dena even if we paid the outstanding. No banks will be interested offering loan to him.

Deal Cadet Deal Cadet
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rockingneo wrote:

When your loan is NPA then bank will offer you settlement.  Recently my cousin brother did 4 lakh education loan from sbi in 40k. It totally depends on upper management and approval but drawback is it will mark written off in cibil score which will give issue in future availing future loan.

When loan account goes in NPA, he took loan in 2012 & passed out in 2016. He stopped making emi payments in June 2020.

Super Stud Super Stud
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Mufasa wrote:

Vaise v cibil score khrab ho hi gya to ab koi loan nhi dena even if we paid the outstanding. No banks will be interested offering loan to him.

Yeah that’s also true.
Ship has sailed now sweat_smile..

Anyways it’s better to sort this with bank and get it done with.

If you leave unattended, bank may call you even after 15 years.

This is what happened to my friends father.
2005 ka dispute and they haven’t left hope of recovery (tiny amount of 25k )

Deal Cadet Deal Cadet
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xxxyyyzzz wrote:

Yeah that’s also true.
Ship has sailed now sweat_smile..

Anyways it’s better to sort this with bank and get it done with.

If you leave unattended, bank may call you even after 15 years.

This is what happened to my friends father.
2005 ka dispute and they haven’t left hope of recovery (tiny amount of 25k )

I am ready to pay but will not pay 2x of principle amount.

Super Stud Super Stud
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Mufasa wrote:

I am ready to pay but will not pay 2x of principle amount.

Jab credit report me defaulter mark kar hi dia hai to try negotiating cheapest possible settlement..


GOING FOR SETTLEMENT OF HDFC CREDIT CARD

Please Visit
https://ddime.i...6R

Go thru this once

Deal Subedar Deal Subedar
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Wow. I never knew this was even possible pray pray. @Mufasa , where is this friend located, in case if anyone can help with job.

Blaze Blaze
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Mufasa wrote:

After how many months/years you got settlement offer from the Bank?

I took loan in 2008, dad pain regular interest till 2010 then he couldn’t. I got offered settlement in 2017..they visited home few times we gave what we could 500-1000 etc. I was always away and only mom would be there and we were honest about problems we faced. Then handled actually very nicely. When I got letter for settlement. I somehow arranged and paid it off, I settled in something like 2lakh odd amount.

Deal Cadet Deal Cadet
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Ispawn2pwn wrote:

I took loan in 2008, dad pain regular interest till 2010 then he couldn’t. I got offered settlement in 2017..they visited home few times we gave what we could 500-1000 etc. I was always away and only mom would be there and we were honest about problems we faced. Then handled actually very nicely. When I got letter for settlement. I somehow arranged and paid it off, I settled in something like 2lakh odd amount.

How was the behaviour of the recovery agents. In my case recovery visited my home two time in a month. Till now they are not behaving rudely or shouting, but I think they will in future. Getting rid out loan trap is like great relief.  Hope I get settlement offer so that that get  rid out of this mess.

Blaze Blaze
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Mufasa wrote:

How was the behaviour of the recovery agents. In my case recovery visited my home two time in a month. Till now they are not behaving rudely or shouting, but I think they will in future. Getting rid out loan trap is like great relief.  Hope I get settlement offer so that that get  rid out of this mess.

I think the behavior might vary but be honest and explain honestly what problems you are facing. Keep an eye out for news pertaining to the bank in which you have the loan. Every couple of years there is a drive to reduce ans close such accounts.

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