Bilateral arrangements of 563,823 loans amounting to 32.02 billion euros by the end of September

LAST UPDATE: 13:58

By Tasos Dasopoulos

With arrangements agreed between banks and management companies and borrowers, 563,823 loans (housing, consumer and business) totaling 32.02 billion euros were regulated from the end of July 2019 until the end of last September.

This is stated in the 5th progress report on private debt published today by the Ministry of Finance and the Special Secretariat for Private Debt.

Typical examples of successful arrangements made by the Loan and Credit Claims Management Companies in the recent period are the following:

– A family of three from Chania, owned a mortgage loan, with a debt amount of 114,000 euros and a loan installment of 790 euros. With the arrangement made, he will be asked to repay a debt of 36,000 euros, with a loan installment of 150 euros, which will gradually increase to 169 euros. In case of compliance with the regulation, she will receive a write-off of 78,000 euros from her loan.

– A two-member family from Kavala, with a consumer loan with collateral and a debt amount of 28,200 euros, paid a loan installment of 278 euros. With the arrangement made, he will be asked to repay a debt of 11,300 euros with a loan installment of 30 euros, which will gradually increase and will reach 50 euros. In case of compliance with the regulation, she will receive a write-off of 16,900 euros from her loan.

– A family of four from Ioannina, with a consumer loan with collateral and a debt amount of 19,800 euros, has received a loan installment, after the arrangement, amounting to 50 euros initially, 54 euros then and 56 euros final installment, with a remaining repayment period of 139 months . In case of compliance with the regulation, she will receive a write-off of 11,900 euros from her loan.

– A general partnership with a professional loan with collateral with a debt amount of 144,550 euros, had a loan installment of 1,254 euros. With the arrangement made, he will be asked to repay a remaining debt of 79,050 euros, with a loan installment of 410 euros. In case of compliance with the regulation, she will receive a write-off of 65,500 euros from her loan.

– A sole proprietorship with a professional loan with collateral with a debt amount of 58,800 euros, had a loan installment of 647 euros. With the arrangement made, he will be asked to repay a remaining loan of 42,200 euros with a loan installment of 182 euros and a remaining repayment period of 392 months. In case of compliance with the regulation, she will receive a write-off of 16,600 euros from her loan.

At the same time, from mid-March 2020 to the end of September 2021, the possibility of suspension of payment on 408,632 loans, amounting to 28.78 billion euros, was granted by Banks and Loan and Credit Claims Management Companies, until the end of September 2021.

State aid actions

Regarding the state aid programs for over-indebted but also informed borrowers, the provision of state financing is as follows:

– Through the program “BRIDGE I” (L.4714 / 2020).

By the end of October, 75,632 loans had been subsidized, corresponding to 50,096 beneficiaries. The total amount of the state subsidy that has been paid to the beneficiaries of the program, until 31.10.2021, amounts to 218.7 million euros.

– Through the program “BRIDGE II” (Law 4790/2021).

By the end of October, 19,048 loans had been subsidized, corresponding to 10,470 beneficiaries. The total amount of the state subsidy that has been paid to the beneficiaries of the program, until 31.10.2021, amounts to 179.8 million euros.

– Through the Electronic Platform for the Protection of the Main Residence (Law 4605/2019).

By the end of September, 2,904 beneficiaries were subsidized. The total amount of the state subsidy that has been paid to the beneficiaries of the program until 31.09.2021, amounts to 3.04 million euros.

Finally, from arrangements through the out-of-court debt settlement mechanism of companies, freelancers, farmers and general partners (Law 4469/2017, until the end of September, 2,296 borrowers successfully settled their debts.