May 13, 2020
CORPORATE GOVERNANCE AND FINANCE DEPARTMENT
| TO | : | Financing Companies (FCs), Lending Companies (LCs) and Microfinance NGOs (MF-NGOs) |
| SUBJECT | : | Extension of the Mandatory Grace Period for Loans during the Modified Enhanced Community Quarantine/General Community Quarantine Period |
NOTICE
Please be advised that, in view of the imposition of either Modified Enhanced Community Quarantine (MECQ) or General Community Quarantine (GCQ) across the country until 31 May 2020, i the initial thirty (30)-day grace period for the payment of loans, as provided under Section 4 (aa) of Republic Act No. 11469, or the Bayanihan to Heal as One Act, ii shall apply to all loans with principal and/or interest falling due within the MECQ/GCQ period, from 17 March 2020 iii to 31 May 2020.
This is pursuant to Section 3.01 of the Implementing Rules and Regulations (IRR) of Section 4 (aa) of the Bayanihan to Heal as One Act, which reads:
"Section 3.01.Mandatory Grace Period. — All Covered Institutions shall implement a 30-day grace period for all loans with principal and/or interest falling due within the ECQ Period without incurring interest...
