Here are some FAQs that will help borrowers understand the details of the ex gratia payment they are eligible for. The Finance Ministry has clarified that agriculture and allied activity loans like crop and tractor loans aren't eligible for the interest on interest waiver announced by the govt recently. Here are the major questions answered about the grant of ex-gratia payment of the interest of interest, as addressed by the finance ministry: Who is eligible? Ex Gratia Payment is a scheme announced by Government of India for the payment of the difference between compound interest and simple interest for six months to the borrowers on loan accounts with sanctioned limits and outstanding upto Rs. 16. The government is offering a refund on compound interest on personal and professional loan products for a six-month period during the COVID-19 lockdown. So, a credit card holder whose billing date falls on 4th of the month can spend on his credit card from 5th April to 4th May, his bill will be generated on 4th … For example, the HDFC Bank Platinum plus Card has an interest-free Credit Period of 55 days. Tractor loans are excluded from this ex-gratia scheme. The ex-gratia relief will be credited to the account of all eligible borrowers without any requirement to apply, it said. An ex gratia payment is made to an individual by an organization, government, or insurer for damages or claims, but it does not require the admittance of liability by the party making the payment. Click the Cards Tab in the upper row. Click on the Cashback Enquiry and Redemption. Select the Account number for which you want to redeem the points. HDB EMI Card ; Enterprise Business Loan ; Loan Against Securities ; Credit Card Balance Transfer ; Consumer Durables Loan ; Commercial Vehicle Loan ; Construction Equipment Loan ; Tractor Loan ; Life Insurance ; General Insurance ; Blogs; Investors; Customer Services. New Delhi: The loan outstanding as of February 29 would be the reference amount for calculating the differential interest amount under the 'scheme for grant of ex gratia payment of difference between compound interest and simple interest' according to the FAQs released by the Finance Ministry. ... Credit card dues outstanding as on 29.02.2020 would be considered for giving relief to the New Delhi: Agriculture and allied activity loans are not eligible for the interest on interest waiver announced by the government last week, the finance ministry has clarified. Ex-gratia will not be paid on those credit cards where balance is in “credit” as on 29.02.2020. In view of the unprecedented and extreme COVID-19 situation, the object of the Scheme is to provide ex-gratia payment of difference between compound interest and simple interest by ways of relief for the period from 1sr March 2020 to 31sr August 2020 to borrowers in specified loan accounts. The period reckoned for refund shall be from March 1 to August 21, 2020, that is six months period or 184 days, it said. ... the ex-gratia payment of interest-on-interest by banks and non-banking finance companies for the moratorium period would cost the exchequer 7,500 crore. Ex-gratia will not be paid on those credit cards where balance is in “credit” as on 29.02.2020. Will I be eligible for relief if my credit card balance is in “Credit” as on 29.02.2020? e. The period reckoned for refund shall be from March 1 to August 21, 2020, that is six months period or 184 days, it said. Then Click on the Enquire Tab in the Debit Card Section, just below the Credit Card Section. Issuing additional frequently asked questions (FAQs) on the 'scheme for grant of ex-gratia payment of difference between compound interest and simple interest', it said credit card dues outstanding as on February 29 would be considered for giving relief to the borrowers. Ex-gratia will not be paid on those credit cards where balance is in “credit” as on 29.02.2020. The relief will come to borrowers in the form of grant of ex-gratia payment of difference between compound interest and simple interest for six months (from March 1 to August 30). About the Scheme: Ex-Gratia Payment . Ex-gratia will not be paid on those credit cards where balance is in “credit” as of February 29, 2020. COVID-19 EX GRATIA SCHEME. The ex gratia relief will be credited to the account of all eligible borrowers without any requirement to apply, it said. 15. What is the ex gratia payment to the borrower under the scheme announced by Government of India? Ex-gratia will not be paid on those credit cards where balance is in “credit” as on 29.02.2020. 15. Agriculture and allied activity loans are not eligible for the interest on interest waiver announced by the government last week, the finance ministry has clarified. # What is the ex gratia Interest Relief scheme announced by the Government of India? What will be the treatment of penal interest/ penalties while arriving at the rate of interest? 16. 6 months period / 184 days. The period reckoned for refund shall be from March 1 to August 21, 2020 that is six months period or 184 days, it said. The Reserve Bank on Tuesday asked all lending institutions, including non-banking financial … No. The government on Tuesday released FAQs (frequently asked questions) on its scheme to provide ex gratia payment for the difference between simple and compound interest … 15 . 1) The scheme mandates ex-gratia payment by way of crediting the difference between compound interest and simple interest for the the period of six months — 1 March, 2020- 31 August, 2020. Also Read - UCO Bank Releases SO Admit Card 2020 at … Will I be eligible for relief if my credit card balance is in “Credit” as on 29.02.2020? What will be the treatment of penal interest/ penalties while arriving at the rate of interest? No. The bank / lending institution will provide ex gratia payment to the borrower account of the difference between compound interest and simple interest on loan accounts with sanctioned limits and outstanding upto Rs. 16. No. Consumer Durable Loans, Credit Card Dues, Automobile loans, Personal loans to Professionals and Consumption loans. Such borrowers are eligible for refund of differential interest from 1st March 2020 upto ... No. Such borrowers are eligible for refund of differential interest from 1st March 2020 up to the date of ... Will I be eligible for relief if my credit card balance is in “Credit” as on 29.02.2020? Q1. Taking out a credit card cash advance is kind of like withdrawing cash from the ATM using your debit card, only with a credit card cash advance, you're borrowing cash from your credit limit, not from your checking account. One of the transactions you can make on your credit card is a cash advance. d. The period reckoned for refund shall be from 01-03-2020 to 31-08-2020, i.e. What will be the treatment of penal interest/ penalties while arriving at the rate of interest? FAQs on Ex-Gratia Scheme announced by the Government of India . Interest-on-interest waiver: Crop, tractor loans not part of ex-gratia relief scheme 30 Oct, 2020, 11.27 AM IST. Please note, Automobile Loans refers to all Vehicle Loans. Hence, the banks are expected to credit the refund to eligible borrowers by the end of the day. No. Hero Fincorp Ltd. will provide ex gratia payment to the customers account of the difference between compound interest and simple interest on loan accounts with sanctioned limits and outstanding upto Rs. Credit card interest waiver. Will I be eligible for relief if my credit card balance is in “Credit” as of February 29, 2020? 1.What is the ex-gratia scheme announced by GOI? 2 crores (aggregate of all the borrowings / facilities from all the banks and financial Institutions) for the period from 1st March 2020 to 31st August 2020 (6 months / 184 days). The Government has communicated the Scheme related to the grant of ex-gratia payment (compound interest -simple interest)borrowers in specified loan accounts from 1/03/2020, to 31/08/2020. The government directed the banks to convey that in view of the COVID-19 situation.