RBI: Beware of misleading campaigns on loan waivers:Central bank appeals public not to fall prey to such scammers

The Reserve Bank of India (RBI) once again advised the general public on Monday to beware of misleading campaigns being run in the name of loan waivers. The central bank has clarified that some individuals and organizations are misleading people by making false promises of getting loans waived. The RBI had issued a similar warning in December 2023. Several such cases have come to light recently. The RBI says that these campaigns are not only causing financial losses to people, but are also hindering the functioning of the country’s credit system, i.e., the banking system. The central bank has appealed to the public not to fall prey to such individuals or organizations and to contact their bank or NBFC directly for any information related to their loans. Fraud happening through social media and direct messages The Reserve Bank has expressed serious concern saying that it has observed such campaigns running through different media platforms and direct contact. Some individuals and organizations are making people believe that they can get their bank or NBFC loans waived. It may be noted that RBI had earlier issued a similar warning in December 2023, which has now been reiterated. Fees being collected in the name of ‘Debt Waiver Certificate’ According to RBI, these fraudsters are adopting various tactics to mislead people: Such Campaigns are a Threat to the Country’s Banking System The central bank says that these campaigns are not only deceiving the public, but are also obstructing the functioning of the country’s credit system. RBI has clarified that such activities weaken the stability of financial institutions and adversely affect the interests of depositors. Getting involved with such gangs means directly suffering financial losses. RBI Says- Strict Legal Action Will Be Taken Against Such People The Reserve Bank has stated in clear terms that the claims of entities or individuals offering loan waivers are completely fake and misleading. Such people are liable for strict legal action under existing laws. RBI has requested the public to immediately report any such misleading campaigns to law enforcement agencies. Go Directly to Bank for Loan Information RBI has advised customers that for any information or issues related to their loans, they should contact their bank or lending institution directly instead of going to third parties. Only authorized institutions can provide information related to loan restructuring or relief.