Banks hunting down nurses, kin

Published: 26th September 2013 12:41 PM  |   Last Updated: 26th September 2013 12:41 PM   |  A+A-

Field inputs from various districts have identified the danger of potential suicides among unemployed or underemployed nurses and their parents, who have availed of educational loans.

‘Predatory hunting’ of defaulters by banks is leading to an explosive situation. The government had officially announced a moratorium on nursing educational loans till October 10, 2013.

But banks are ruthlessly violating it, pointed out S Mini, state secretary of Indian Nurses’ Parents’ Association (INPA). Since most of the nurses are from lower middle class and working class background, the impact of the debt is estimated to be very serious. 

“ Banks are aggressively going forward with recovery proceedings. A large number of nurses are unemployed or underemployed. They are not in a situation to pay back the loan now. Their aged parents are not able to withstand pressure and humiliation,” she said. According to her, the predatory hunting of the banks has already taken many lives, which are largely unreported. “The recent suicide of Kuriakose, an agricultural labourer and father of a nursing student in Vandenmedu, Idukki, is a telling manifestation of the case,” she said.

“The norm since 2009 is that the government will pay the interest. So legally, banks are not supposed to charge interest. But most of the banks are charging it. In the case of Kuriakose, the bank had started taking interest from the third installment. At the time of the fourth installment of Rs 40,000, an amount of Rs 10,000 was collected as the interest. Kuriakose had to borrow the amount from moneylenders and the humiliation led him to commit suicide,” said K J Joseph, Idukki district president of the INPA.

It is believed that most banks pressurise loanholders to pay interest and bond documents, which is a blatant violation of RBI guidelines.

Stay up to date on all the latest Kochi news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp