Repayment

Usually the loan repayment is done by setting up of standing instructions if such account is within the bank or by maintaining mandate instruction if such account is of another bank. Once these instructions are maintained by the bank for the loan account, the repayment amount is periodically drawn from the source account to settle the repayment.

Customers on time need to make partial or full repayment of the outstanding loan amount by making adhoc payment. This feature allows the customer to make adhoc repayments through self service channel. Customers can make repayment only through the source account linked to customer.

Customers can make partial repayment or make full settlement of the loan account. In partial settlement customer can make payment of any amount that is less than the outstanding loan amount. In this case, if there are any arrears in the loan account, then arrears will be settled first, then remaining balance of the transferred amount will be settled against the principal balance of the loan.

In case of full settlement, the final settlement amount is calculated by applying penalties or charges as applicable by the host system and displayed to the customer. Customer need to transfer final settlement amount in order to make full repayment.

Repayment done by the customer either partial or full will be immediately reflected in the loan account.

How to reach here:

Loan Dashboard > Loan Account Card > Loan Details > Repay

Field Description

Field Name	Description
Customer Name	Name of primary account holder in the loan account. Note: It displays the primary account holder name in case if the account has multiple borrowers.
Loan Account Number	Loan account number in masked format.
Pending Arrears	Pending arrears amount in the account along with currency. It is sum of Principal and Interest arrears.
Outstanding Principal	Outstanding principal balance in the account along with currency.
Disclaimer	Text message informing customer about the appropriation of funds in case of a partial payment.
Source Account	Account for making partial payment. Note: The list displays the all active accounts where customer is the primary holder or sole owner.
Balance	Balance amount in the selected source account.
Repayment Amount	Amount for the partial repayment. Note: Amount should be less than the outstanding principal balance.

To repay the loan:

1. From the Source Account list, select appropriate account number.
2. In the Repayment Amount field, enter the partial payment amount.
3. Click Repay.
   OR
   Click Cancel to cancel the transaction.
   
4. The Review screen appears. Verify the details, and click Confirm.
   OR
   Click Cancel to cancel the transaction.
5. The success message appears, along with the reference number.
   Click Done to complete the transaction.

FAQs

Can I make a partial prepayment towards my loan?

Yes. you can prepay the loan partly or fully, at any stage, subject to pre-payment charges applicable as per your loan type.

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