The European Banking Authority was the reason why we had to postpone because they were not ready, he explained.
"The order we have worked on is in fulfilment of what the European regulator has presented us as a framework. We have developed such a line coordinated with the BNB, which we will send to the Central Bank to assess whether it corresponds to the framework of the European Banking Authority, he added.
“The framework makes it possible to set out common standard approaches to enable citizens and businesses that fall under this deferral order to find a solution to servicing their obligations within the permissions period so that they can move through the coming months more easily and focus the financial resources that probably dropped, on these vital needs. Credit obligations can wait,” added Peter Andronov.
To whom does the moratorium apply?
Banks until now had a very clear regulatory framework and rules that worked with two categories of customers — more than 95% - regular borrowers who are good and pay off their obligations on time, with them we work under the standard rules.
With those borrowers who had problems before the epidemic, we worked on rules to restructure their loans.
Now there is a new category of customers — the companies we have worked with and are correct payers — and it is not their fault that they will be experiencing difficulties today.
To the new group of customers who are regular borrowers until the start of the crisis — we already have a framework and a proposal on how to work with them. We offer them a deferral of interest and principal for those in whom it is imperative.
For those who want to pay only interest — this option is also provided — we have feedback for customers who want to postpone the principal”, explained Andronov.
The deferral period is relatively long, Andronov explained.
“We have foreseen a relatively long period, we have complied with the practices in Europe and the time limit that will be healthy for banks — that deferrals do not affect the stability of the banking sector.
From the period in which this order is adopted until 30 June, as in the rules of the European Banking Authority, all people and businesses who have experienced difficulties or will experience difficulties and their analysis shows that they will not cope with the current challenges can come to a solution with these banks for a deferral, which will last beyond June 30.
The entire loan will be extended by this postponement period that they will wish to have, explained the head of the Association of Banks in Bulgaria.
Peter Andronov reported important news about banks and loans, which thousands of Bulgarians expected
Within days, a moratorium will be announced on the payment of interest and principal on the loans we have drawn. This was said by the head of the Association of Banks in Bulgaria Petar Andronov on the air of bTV.tags:
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