Earlier applied for loan without thinking, now EMI not given!
Taking a loan is not a big deal in today's time because there are many options for it. Many times when loans are not available from banks, people turn to NBFC. Loan is also easily available, but when it comes to repaying the loan, people often become defaulters. The result is that the NPA of the NBFC sector has reached an all-time high.
NBFC suffered a loss of 50 thousand crores
According to the data till december 2024, NBFC has suffered a loss of about Rs 50,000 crore, which is 13 percent of the loans given so far. Apart from this, there are many such loans, which are now on the verge of becoming NPA. Their figure has increased to 3.2 percent. Whereas a year ago it was only 1 percent. This means that it is clear that the ability of people of weaker income group in india to repay loans is decreasing.
Why are people not able to pay EMI?
Now the question arises that why is there such a rise in loan default? It is very easy to apply for microfinance loan. Fewer documents are required for this. Due to this, people easily take loans, but due to rising inflation, expenses on everyday things increase and they fail to repay the loan amount somewhere. Apart from this, there are many people who do not have a stable income, so paying EMI is proving to be very difficult for them.
What is non-performing asset?
NPA means non-performing asset, which means loans that are not repaid on time. If the EMI, principal or interest of a loan is not paid within 90 days of the due date, then it is put in NPA. In our country, microfinance loans are taken by people whose income is low. Its biggest feature is that there is no need to keep anything as a guarantor. Its purpose is to generate income.
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