Bank sent me notice to pay all the EMI at the same time

699 votes

Usually one is supposed to start paying installments of Education loan, after completion of study/course for which such loan has been taken. IN case bank has sent you notice to pay whole amount, they may have or may have been in the process of declaring the loan account as NPA. IN this circumstances, you may approach the bank, and seek time for repayment. In the case you make undertaking to the bank that you shall pay EMI on time, bank may restructure your loan and give you time for repayment and may make fresh EMI for the repayment. So my advice is to go and approach the bank. In the event you may require more advice, you may contact me.

Advocate Vivek Nasa LawRato

984 votes

Send a reply to legal notice sent by bank's advocate or bank. Request them to give some time and mention your problem. Do keep a copy of the reply sent by you. Go and meet your branch manager from where you applied for loan and seek time from the bank. you don't have much legal remedy as at the end you will have to return the amount borrowed from bank. So its better to settle the issue with bank directly.

Advocate Arun Singh LawRato

768 votes

for that purpose, you have to come for brief meeting as it is not appropriate to give legal advice without seeing the documents etc.

but in short, as far as Banking laws are concerned if you have taken education loan than you have to pay it back otherwise bank is going to approach DRT ( Debt recovery Tribunal) or other relevant forum against you.

You are correct that Bank cannot ask for all the amount in one go, but since you are defaulter than It might be one of the recovery notice in which the bank as informed you about the total outstanding to be paid by you till now.

You can approach the ban officials and ask for time and also go to their in house Nodal officer of each bank.

You can approach to consumer forum also, in case you can prove there is any deficiency in service

Advocate Harish Malhotra LawRato