Repay and keep crop loans alive, banker tells farmers

September 19, 2014 11:52 pm | Updated May 24, 2016 12:55 pm IST - TURUVOLU (Visakhapatnam District):

Convenor State Level Bankers Committee and General Manager Andhra Bank C Doraswamy explaining the issues associated with the Loan waiver scheme at an awareness meeting organised by the Bank at Turuvolu near Chodavaram in Viskahapatnam district on Friday. Photo:C.V. Subrahmanyam

Convenor State Level Bankers Committee and General Manager Andhra Bank C Doraswamy explaining the issues associated with the Loan waiver scheme at an awareness meeting organised by the Bank at Turuvolu near Chodavaram in Viskahapatnam district on Friday. Photo:C.V. Subrahmanyam

The State government is committed to waiving crop loans of farmers, convener of the State Level Bankers’ Committee and General Manager of Andhra Bank C. Doraswamy has said, and urges borrowers to keep their loans alive through timely repayment.

Addressing farmers and women members of self-help groups at a meeting organised here on Friday to create awareness on issues associated with the loan waiver decision of the government, Mr. Doraswamy expressed concern over “zero repayment” of bank loans in the rural areas, and underscored the importance of timely repayment by the borrowers.

Replying to a farmer, he said the borrowers could renew their loans by repaying either the total outstanding or at least the interest component to maintain their relationship with the lending bank.

He urged the borrowers to realise that by not repaying they were putting at stake their long relationship with the Chodavaram branch, established in 1953.

The farmers had totally stopped repayment in the light of the statements by political parties and the elected government, he noted. As a result, the loans had become ineligible for being considered under the government’s interest-free loan scheme. The borrower would also have to pay the accumulated interest, Mr. Doraswamy said.

Data sought

The government was seeking data from the banks on the borrowers and their outstanding amount, including crop loans, gold loans for crop, and crop loans converted into term loans following natural calamities. After compilation, the process of identification of borrowers eligible for the waiver would be taken up and the amounts transferred to their accounts, he explained.

ZPTC member Satyavati, MPP president Kalavati, Turuvolu sarpanch Dhanalakshmi, Andhra Bank Zonal Manager G.V. Lalith Prasad, DGM Kamalakar Rao, and Chodavaram branch Chief Manager R. Sankar Rao were present.

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