Banks’ borrowers can ask to defer fee on principal amount for 1 year: SBP
KARACHI: The State Bank of Pakistan (SBP) on Monday asked the borrowers of the banks to defer principal amount for one year without any fee or increase in markup.
The State Bank of Pakistan announced regulatory relief measures for consumer financing amid the coronavirus outbreak.
In a tweet, the SBP said, “Borrowers availing consumer finance (auto, housing, personal loans, credit card) & who were regular on their payments up till December 31 2019 can request banks to defer principal amount for 1 year without any fee or increase in markup. They will continue to service the mark-up amount.”
It said that borrowers, who are availing consumer finance like auto, housing, personal loans, credit card, can request banks to defer the principal amount for one year without any fee or increase in markups.
In a series of tweets, SBP said all borrowers who were unable to service the mark-up amount and need deferment exceeding one year, can request the bank to reschedule or restructure their facilities.
If it is done within 180 days of the loans being past due, such financing facilities will continue to be treated as regular, SBP said.
This regulatory relief will not affect the borrower’s credit history, the bank said.
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