Borrower Repayments – What you need to know?03 November, 2016
Sharing some pointers on what you need to know on borrower repayments:
All borrowers are given monthly email reminders prior to their payment due date.They are required to provide auto-debits to their bank account for their monthly repayments.
Borrowers are given a grace period to pay by latest of 5th of the month to provision for banking holidays, weekends etc.
When a repayment is received, after a short processing time, you can review the status of your payment in the lender account here:
- Loan Portfolio - You can check the repayments received on each loan by clicking on each Loan ID.
- Escrow Account - Loan Repayments Tab give you a single view of all repayments received
- Your portion of the payments will be added to your available cash balance of the escrow account. You can use this cash balance to fund more loans.
When is the 1st borrower payment due?
If the borrower loan has been disbursed on or before 15th of a month, then the 1st EMI is due on 1st of the subsequent month. For e.g.: if loan has been disbursed to the borrower on 5th Oct, then 1st EMI is due on 1st Nov.
If borrower loan has been disbursed after 15th of a month, then the 1st EMI is due on 1st of the month after subsequent month. For example, if loan has been disbursed to the borrower on 20th Oct, then 1st EMI is due on 1st December. Thereafter, for every EMI, the due date is 1st of respective month. Do note interest is payable from date of disbursal of loan.