if you have taken moratorium on education loan, read this

Due to the pandemic outbreak, the government has offered the moratorium to the people so that the borrowers can get some relief for some months. Normally, the repayment for the loan will start once the borrower will take it but few loans has allowed their customers to not start repaying in the initial few months.

Even if you see in the education loans, moratorium is common. Lenders will allow the students to start repaying the loan after finishing the courses and start earning. And the don’t have to repay till the six months of the job. However, some banks has offered the moratorium of up to one year as well.

But this moratorium on education loan is not for free of cost. Borrowers must pay the interest for the same and the amount will get added to the principal amount. So if you are able to repay the loan, it is advised to not take the moratorium by the government because you will have to pay extra interest for the same.

Or if you have taken it already, then you must be ready to pay the high rate interest amount which will be added to the principal amount of your loan. you can check it with your bank and know how to pay the same.