Missed EMI? Personal Loan Crisis Looms, NPA Declared in 90 Days!

• Missing even one EMI on a personal loan can trigger a crisis due to unforeseen events like job loss or medical emergencies.
• Unpaid personal loan EMIs for over 90 days lead to the loan being declared an NPA (Non-Performing Asset), branding the borrower a defaulter.
• NPA status results in stricter collection calls, increased penalties, and severe, long-lasting damage to your credit score.
• A poor credit score from an NPA can hinder future applications for home loans, car loans, or credit card limit increases for years.
• Personal loans are unsecured, prompting lenders to pursue aggressive recovery; proactive communication with the bank before 90 days is vital for potential relief.

Why It Matters: Proactive communication with your bank before 90 days of missed EMI is crucial to avoid NPA and credit score damage.