News > Loan moratorium: Worse than taking a pound of flesh, borrowers tell SC

Loan moratorium: Worse than taking a pound of flesh, borrowers tell SC

Banks are free to restructure loans but they cannot penalize honest borrowers by charging interest on deferred EMI payments under the moratorium scheme during the COVID-19 pandemic, a petitioner opposing the move said in the Supreme Court on Wednesday.

“They have given so much relief to banks and we are not given any. There is no default on my part and we cannot be penalized by being charged the interest on interest.”