Banks to Shame 9,000 Wilful Defaulters
Government has asked banks to publicly name and show pictures of people who are not paying back loans even if they have the money also known as “wilful defaulters”
The new Modi government has taken a hard stance against wilful defaulters, they are borrowers who are capable of paying back loans from banks but do not pay then, this has been a major issue for banks in India for many years.
The Department of Financial Services (DFS) have requested all public sector banks to start publishing the names and photos of the 9,000 wilful defrauders the total amount yet to be paid back is Rs 1 lakh crore, they want to shame the people publicly to make them pay back the loans.
The Reserve Bank Of India (RBI) have told private banks they can do this and should start right away but made it clear that this is not a mandatory order. The DFS have started checking with banks if they are doing this, via print media or social media, some banks have already started like Bank of India and Bank of Baroda, State Bank of India and Central Bank will be starting publishing soon.