India’s No.1 and Largest OTS Finance Company with Proven Track Record: When an account becomes NPA, it creates lots of problems for the borrower and in the worst scenario, their business becomes shut down or bank takes the possession of their collateral or even sell collaterals to recover the loan.
To avoid this situation, a borrower needs to repay this NPA loan anyhow. For this, the best way is to apply for an OTS in the bank. By the way of OTS, a borrower can save a lot of money in form of huge interest, legal charges & penalties.
OTS amount directly depends upon how old is account, valuation of collaterals, and business status of the client. Suppose in case, if the valuation is higher than the loan amount, then the OTS amount will be quite higher. Similarly, if the NPA account is new then also OTS amount will be high.
Now, if the borrower has ample money to pay OTS then it is fine, else the problem arises to get funds to finance OTS.
Solution for OTS Funding
Once OTS gets approved by the bank, then the borrower can approach the market for OTS Finance. There are some institutes regulated by RBI and SEBI, who can fund entire or part of an OTS amount as per the requirement and repaying capacity of the borrower. It’s always better to hire a Finance Consultant or Financial Advisor as they are more knowledgeable & experienced on the subject and have ready connections.
Terms & Conditions in OTS Financing:
- OTS can be funded fully or partially, depending upon the borrower’s requirement, collateral valuation, and business cash flow or sources of funds of the borrower.
- Repayment can be taken from the cash flow of existing business or rental income or by the liquidation of collateral or the client can give a guarantee of any of his friends or relative.
- Finance is available in all tier 1, 2, 3 cities of India.
- Flexible repayment tenure will be offered.
- Lowest ROI in the industry.
- Normally, it takes 25-30 days to complete the transaction.
- A moratorium period will be offered.
Interest can be serviced monthly or quarterly.
OTS Funding or OTS Finance (Note)
Life is full of challenges; one of them is the NPA situation. This comes when someone defaults on the bank or NBFC loan. This is very critical situation as the NPA account kills few years of professional life and financial progress. It also kills the huge amount of money in terms of heavy interest & charges levied by bank/NBFC’s. Also, takes away your sleep, due to legal actions taken by the bank through DRT & NCLT proceedings or their sales process of collateral.
So how to get out of this NPA Situation or NPA Status? One of the best ways is to speak with our Financial Advisor today, they will approach your bank for OTS or One Time Settlement of your NPA Loan and get it done with industry best practice.