Debt Solutions

Irresponsible lending occurs when lenders provide loans without adequately assessing the borrower’s ability to repay, often leading to financial distress. This includes offering loans with high-interest rates, hidden fees, or to individuals with poor credit histories without proper checks. Such practices can result in increased defaults, financial instability for borrowers, forcing the borrower into a debt trap and there can be potential regulatory consequences for lenders.

In India, Debt Management Plans known as DMP, are not directly regulated by the Reserve Bank of India RBI. However, RBI in their working group article of 3rd April 2008 advised that people in debt should be offered debt counselling, which includes negotiating with creditors to establish a Debt Management Plan. Credit counselling agencies like us offering DMPs operate under the broader regulatory framework set by the RBI. These guidelines ensure fair practices, transparency, and protection for consumers seeking debt management solutions.

A Debt Management Plan (DMP) helps manage and reduce debt by consolidating multiple debts into a single, affordable monthly payment, based on your disposable income which comes from your monthly earnings after essential household expenses are considered. We will request and negotiate lower interest rates and fees with your creditors and will provide financial counseling to you to improve budgeting and spending habits.

To manage debt and build an emergency fund, first create a budget, and list all your debts and start paying off the high-interest debt payments, and start setting aside funds into a saving or a FD account on a regular basis. Reduce unnecessary expenses and increase income through doing more additional hours at work or through side work. If you go onto our website our free financial literacy course explains in more details.

Hi,
I am Ajay Jain and I have a property in Mumbai. I want to own the asset as to loan it and use the amount to expand my business. Does Hinduja Leyland Finance owned by Hinduja Brothers offer Loan Against Property?

Thanks

Under our Personal Debt Program (PDP), SingleDebt offers a Debt Management Plan (DMP) that includes debt assessment, personalized repayment plans, creditor negotiations to reduce interest rates and fees, and consolidation of multiple debts into a single payment. Additionally, we provide financial counseling, budgeting advice, and legal support to handle creditor legal notices, arbitration matters, bounced cheques, and other debt issues. We also offer paralegal support to address creditor harassment and manage creditor calls, ensuring successful debt repayment and financial stability. For business loans, we provide a different service called CIDA – Company Informal Debt Arrangement, offering tailored plans for managing small business debts, giving ‘breathing space’ to MSMEs so that they can plan their cash-flow and a stable financial future for their business without the hassle of everyday creditor reminders or harassment from recovery agents.