Adoption of Other Debt Relief Measures

June 11, 2020CORPORATE GOVERNANCE AND FINANCE DEPARTMENTTO :Financing Companies (FCs), Lending Companies (LCs) and Microfinance NGOs (MF-NGOs)    SUBJECT:Adoption of Other Debt Relief MeasuresNOTICEIn view of the adverse impact of the COVID-19 pandemic to the finances of Filipinos, the Commission STRONGLY ENCOURAGES financing companies (FCs), lending companies (LCs), and microfinance NGOs (MF-NGOs) to adopt measures that will help ease their borrowers' financial burden, in addition to the mandatory grace period under Sec. 4 (aa) of Republic Act No. 11469 otherwise known as the Bayanihan to Heal as One Act and its Implementing Rules and Regulations. HTcADCFCs, LCs, and MF-NGOs MAY implement measures such as, but not limited to:a. lowering of interest rates;b. waiver or reduction of penalties, charges and other fees;c. payment holiday;d. debt consolidation;e. extending the term of the loans; andf. provision of flexible payment schedules.FCs, LCs and MF-NGOs may also develop and implement their own programs or schemes that will provide financial relief to their borrowers.Pasay City, June 11, 2020.