Check the status of home loan with the bank, there has been a big change

Banks have stopped giving home loans to their customers in view of layoffs and pay cuts due to Coronavirus pandemic. Banks are asking their customers for a new salary slip.

Due to the Coronavirus epidemic, the impact of cuts in employee salaries and retrenchment by companies has now started showing on the real estate sector. Builders and buyers of flats booked in various projects are facing a new challenge these days. Banks are now reluctant to give home loans.

Demand for fresh salary slip

Banks have stopped giving home loans to their customers. They are afraid that due to layoffs and pay cuts in companies, their loan may be in danger, and customers may default. Banks are asking for a new salary slip from the buyers of the flat to issue them further loans.

Layoffs, problems with pay cuts

In fact, due to salary cuts and large scale layoffs in companies, banks want to make sure that their loans do not submerge and they get the EMI of the loan on time.

Loans have not been given since last 2 months

The builders say that many of their customers have complained that for the last two months, the bank has been reluctant to give them a loan. He said, "There are many cases in which banks have already issued 20% loan to the buyers of the flat, but have now stopped giving the rest of the loan after lockdown."

So that the loan does not default

Banks state that their rule at the time of disbursement of the loan ensures that the person taking the loan is able to repay the loan or not. A private bank official said, "If the person taking the loan at the time of loan disbursement feels that his income is not sufficient to repay the EMI of the loan, then he will withdraw from taking the loan to suit his interests. If they default before taking possession of the house, then neither they will have the house nor the credit for buying the cheaper house.

Revalidating home loan

Ajay Ashar, president of Maharashtra Chamber of Housing Industry (Thane), said, "Banks are realigning home loans of their customers in view of salary cuts."