Financially stressed due to Covid-19? You may find it hard to get loan

Lenders are treading cautiously, and in some cases even cancelling previously sanctioned or pre-approved loans

Banks and housing finance companies (HFCs) are treading cautiously in disbursing loans and even cancelling previously sanctioned, or pre-approved, loans for customers who have become economically stressed after the Covid-19 crisis.

“Those customers who were sanctioned loans in March, based on a certain assessment of repaying capacity, and could not avail of the loan immediately, we are revisiting such cases to ascertain the adverse impact on their cash flow position, if any, to ensure repaying capacity,” said Deo Shankar Tripathi, managing director and chief executive officer of Aadhar Housing Finance. 

During the past two months, many customers suffered loss or