Overdue Loan
1 month ago
Sir I take loan 7500₹ in it's overdue 365+ days .
I want some more time to repay. The amount I 16100₹ .What can I do now .
A.Dear Client,
The information you provided appears to be a mix of details related to the Provincial Insolvency Act, 1920 (which is now repealed) and debt settlement practices. It's essential to clarify that the current bankruptcy framework in India is governed by the Insolvency and Bankruptcy Code, 2016 (IBC), and the Provincial Insolvency Act, 1920, is no longer in effect.
Under the IBC, individuals and partnership firms can file for bankruptcy under the provisions of the individual insolvency and bankruptcy code. However, the threshold for filing bankruptcy is not a specific amount but is based on the debtor's inability to pay debts.
Regarding debt settlement, it's a process where a debtor negotiates with creditors to settle the outstanding debt for a lesser amount than what is owed. This can be done independently or through third parties like debt settlement companies. Negotiating a debt settlement may involve offering a lump sum payment to the creditor in exchange for forgiveness of the remaining debt.
However, it's crucial to exercise caution when dealing with debt settlement companies, as there are both legitimate and fraudulent entities in the market. Before engaging with such companies, it's advisable to check with your state attorney general's office and local consumer protection agencies for any consumer complaints against the company. Additionally, be aware of potential risks such as the impact on credit scores and tax consequences.
The information you provided appears to be a mix of details related to the Provincial Insolvency Act, 1920 (which is now repealed) and debt settlement practices. It's essential to clarify that the current bankruptcy framework in India is governed by the Insolvency and Bankruptcy Code, 2016 (IBC), and the Provincial Insolvency Act, 1920, is no longer in effect.
Under the IBC, individuals and partnership firms can file for bankruptcy under the provisions of the individual insolvency and bankruptcy code. However, the threshold for filing bankruptcy is not a specific amount but is based on the debtor's inability to pay debts.
Regarding debt settlement, it's a process where a debtor negotiates with creditors to settle the outstanding debt for a lesser amount than what is owed. This can be done independently or through third parties like debt settlement companies. Negotiating a debt settlement may involve offering a lump sum payment to the creditor in exchange for forgiveness of the remaining debt.
However, it's crucial to exercise caution when dealing with debt settlement companies, as there are both legitimate and fraudulent entities in the market. Before engaging with such companies, it's advisable to check with your state attorney general's office and local consumer protection agencies for any consumer complaints against the company. Additionally, be aware of potential risks such as the impact on credit scores and tax consequences.
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A.Dear Client,
The information you provided appears to be a mix of details related to the Provincial Insolvency Act, 1920 (which is now repealed) and debt settlement practices. It's essential to clarify that the current bankruptcy framework in India is governed by the Insolvency and Bankruptcy Code, 2016 (IBC), and the Provincial Insolvency Act, 1920, is no longer in effect.
Under the IBC, individuals and partnership firms can file for bankruptcy under the provisions of the individual insolvency and bankruptcy code. However, the threshold for filing bankruptcy is not a specific amount but is based on the debtor's inability to pay debts.
Regarding debt settlement, it's a process where a debtor negotiates with creditors to settle the outstanding debt for a lesser amount than what is owed. This can be done independently or through third parties like debt settlement companies. Negotiating a debt settlement may involve offering a lump sum payment to the creditor in exchange for forgiveness of the remaining debt.
However, it's crucial to exercise caution when dealing with debt settlement companies, as there are both legitimate and fraudulent entities in the market. Before engaging with such companies, it's advisable to check with your state attorney general's office and local consumer protection agencies for any consumer complaints against the company. Additionally, be aware of potential risks such as the impact on credit scores and tax consequences.
For precise and up-to-date guidance on bankruptcy and debt settlement in India, consulting with a legal professional or a financial advisor is recommended. They can provide personalized advice based on the current legal and financial landscape.
The information you provided appears to be a mix of details related to the Provincial Insolvency Act, 1920 (which is now repealed) and debt settlement practices. It's essential to clarify that the current bankruptcy framework in India is governed by the Insolvency and Bankruptcy Code, 2016 (IBC), and the Provincial Insolvency Act, 1920, is no longer in effect.
Under the IBC, individuals and partnership firms can file for bankruptcy under the provisions of the individual insolvency and bankruptcy code. However, the threshold for filing bankruptcy is not a specific amount but is based on the debtor's inability to pay debts.
Regarding debt settlement, it's a process where a debtor negotiates with creditors to settle the outstanding debt for a lesser amount than what is owed. This can be done independently or through third parties like debt settlement companies. Negotiating a debt settlement may involve offering a lump sum payment to the creditor in exchange for forgiveness of the remaining debt.
However, it's crucial to exercise caution when dealing with debt settlement companies, as there are both legitimate and fraudulent entities in the market. Before engaging with such companies, it's advisable to check with your state attorney general's office and local consumer protection agencies for any consumer complaints against the company. Additionally, be aware of potential risks such as the impact on credit scores and tax consequences.
For precise and up-to-date guidance on bankruptcy and debt settlement in India, consulting with a legal professional or a financial advisor is recommended. They can provide personalized advice based on the current legal and financial landscape.
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A.Dear Client,
Under the Provincial Insolvency Act, 1920 (which is now repealed as IBC Code 2016), you can file for bankruptcy if you are unable to repay a debt greater than ₹500. After analyzing whether the conditions for filing for bankruptcy have been met, the court may accept or reject the application. But, in the absence of any property/assets, your insolvency petition may be rejected by the Court. Alternatively, you can try to negotiate a debt settlement on your own if your pocket permits to repay the entire outstanding at a time for a one-time settlement of dues, but sometimes it's typically done through third parties like debt relief companies, which you may hire to negotiate the settlement matter with the lender on your behalf. With this method, you will make payments to the debt settlement company rather than your creditors/lenders, along with any fees. Debt settlement is an agreement between a lender and a borrower in which the borrower repays a portion of a loan balance and the lender forgives the remainder. You may consider starting the negotiation by offering to pay 25% or 30% of your outstanding balance in return for forgiveness on the rest. But, it may be noted that while there are legitimate debt relief/settlement companies, there are also many scam operations. So, if you're considering one, the Consumer Financial Protection Bureau(CFPB) suggests for contacting your state attorney general's office and local consumer protection agency to ask if they have any consumer complaints on file about that company. Some states require that debt settlement companies be licensed, which may provide some added protection. Although a debt settlement can offload some of your financial crisis, there are also a few potential risks and downsides to consider. First, a debt settlement will affect your credit score. That will make it more difficult for you to get credit or good interest rates in the future. Another potential drawback is that when you settle debt, you could face tax consequences. Further, a quick counselling session with a certified credit counsellor can help you to discover your options and choose the right path forward to settle the debts/loan with the Bank.
Under the Provincial Insolvency Act, 1920 (which is now repealed as IBC Code 2016), you can file for bankruptcy if you are unable to repay a debt greater than ₹500. After analyzing whether the conditions for filing for bankruptcy have been met, the court may accept or reject the application. But, in the absence of any property/assets, your insolvency petition may be rejected by the Court. Alternatively, you can try to negotiate a debt settlement on your own if your pocket permits to repay the entire outstanding at a time for a one-time settlement of dues, but sometimes it's typically done through third parties like debt relief companies, which you may hire to negotiate the settlement matter with the lender on your behalf. With this method, you will make payments to the debt settlement company rather than your creditors/lenders, along with any fees. Debt settlement is an agreement between a lender and a borrower in which the borrower repays a portion of a loan balance and the lender forgives the remainder. You may consider starting the negotiation by offering to pay 25% or 30% of your outstanding balance in return for forgiveness on the rest. But, it may be noted that while there are legitimate debt relief/settlement companies, there are also many scam operations. So, if you're considering one, the Consumer Financial Protection Bureau(CFPB) suggests for contacting your state attorney general's office and local consumer protection agency to ask if they have any consumer complaints on file about that company. Some states require that debt settlement companies be licensed, which may provide some added protection. Although a debt settlement can offload some of your financial crisis, there are also a few potential risks and downsides to consider. First, a debt settlement will affect your credit score. That will make it more difficult for you to get credit or good interest rates in the future. Another potential drawback is that when you settle debt, you could face tax consequences. Further, a quick counselling session with a certified credit counsellor can help you to discover your options and choose the right path forward to settle the debts/loan with the Bank.
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