"Not Offering Emergency Loan Through YONO": SBI Cautions Customers Against Rumours

SBI also said it will soon introduce a pre-approved personal loan for its salaried customers

'Not Offering Emergency Loan Through YONO': SBI Cautions Customers Against Rumours

SBI also said it will soon introduce a pre-approved personal loan

State Bank of India (SBI) on Sunday denied reports that it is offering an "emergency loan scheme" through its mobile app YONO, and urged its customers not to believe "these rumours". In a statement on Sunday, SBI, the country's largest lender, said: "This is regarding the news being widely reported about ‘SBI Emergency Loan scheme via YONO'. We would like to clarify that SBI is not offering any such loan at present. We also urge our customers not to believe on these rumours."

The clarification came after it was reported in some sections of media that the bank was offering an emergency loan scheme through the YONO app, offering SBI customers "up to Rs 5 lakh as loan within 45 minutes, at an interest rate of 10.5 per cent". The reports had also stated that the loans could be availed through the YONO app, which was cited as the source of the information, and that the EMIs of the said loan would begin after a period of six months.

In its statement released on Sunday, SBI also said it will soon introduce a "pre-approved personal loan offering through YONO to provide relief to the salaried customers of SBI who are facing cash-flow problem due to COVID". 

"The details of the new product will be communicated to media once it is launched," SBI added.

The country remained in the third phase of a nationwide lockdown to curb the spread of the coronavirus (COVID-19) pandemic, which has pushed the economy into a standstill.