Flood-hit urged to avail loan rescheduling

Vijayawada: Additional secretary (Finance) to the Government of Andhra Pradesh J Nivas has appealed to the Budameru flood victims to make use of the reschedule of loans announced by the banks.

He said the banks announced rescheduling and moratorium for the convenience of the flood-hit people, who suffered huge loss in and around Vijayawada. He suggested the traders to apply for the fresh loans to restart the business activities.

Nivas along with the NTR district collector G Srijana convened a meeting with the bankers and insurance companies at the district collectorate on Thursday and discussed the problems being faced by the Budameru flood victims and services of the banks and insurance companies.

Nivas said the banks can implement a one year moratorium on the bank loans to their customers and sanction loans up to Rs 50,000 to the families living in the ground floor and up to Rs 25,000 to the families living in the first floor.

He said moratorium can be implemented for three months to the bank loaners and 36 months repayment period can be applied to the flood victims. Nivas said the banks can also sanction new loans to the traders to restart the business as per the norms of the RBI.

He said Chief Minister N Chandrababu Naidu has announced financial assistance of Rs 25,000 to the families living in the ground floor and Rs 10,000 to the families living in the first floor. He said the facilitation centre will be arranged to help the people get banking services.

Referring to vehicles damaged due to Budameru floods, Nivas said 48,000 vehicles were broken down and damaged in and around Vijayawada. He said the government has announced compensation to the two-wheelers and auto rickshaws and stated that insurance claims will be settled soon.

Collector Srijana said the district administration will render assistance to all flood victims.

Union Bank of India regional head M Sridhar and representatives of the banks and insurance companies participated in the meeting.