AGARTALA, August 14(TIWN): To hasten loan recovery, an awareness camp on loan recovery and loan disbursement was held at TMCDCL office on Thursday.

The awareness camp was inaugurated by Minority Development minister Shahid Chowdhury.

In his inaugural speech minister Shahid Chowdhury urged to the people to pay back their default loan as it is very important to clear the loan on time.

Loan disbursement comprises a very large portion of a bank’s total activities. Sound loan disbursement practice therefore, is very important for profitability and success of a bank. Like other financial intermediary, commercial banks also intermediate between the savers and borrower to mobilize the financial surplus of the savers and allocate these savings to the creditworthy borrowers of different sectors of the economy.

In this way they not only help in financial development of a country, but also facilitate its economic development, added chowdhury. However, though the bank disburses the loan but the loan is not recovered on time which is a great challenge for the banks.

He further said that, banks need to be aware of loans that are at risk for not being paid back (also known as going into default). Collection departments of the bank are being contacting the individual loan holder. They must aware the amount owed and any interest accrued. Bank may also contact the guarantor of the loan.

If the loan is not secured, then the bank may seize the asset. If it is a personal loan without security then the bank may file a lawsuit.  

However, MLA Ratan Das along with other dignitaries remained present in the program.