September 21, 2020
CORPORATE GOVERNANCE AND FINANCE DEPARTMENT
| TO | : | Financing Companies (FCs), Lending Companies (LCs), and Microfinance NGOs (MF-NGOs) |
| SUBJECT | : | Implementation of Mandatory Grace Period for All Loans Pursuant to the Bayanihan to Recover as One Act |
NOTICE
On 15 September 2020, Republic Act No. 11494, otherwise known as the Bayanihan to Recover as One Act, took effect. 1 Section 4 (uu) thereof provides:
SEC. 4. COVID-19 Response and Recovery Interventions. — Pursuant to Article VI, Section 23 (2) of the Constitution, the President is hereby authorized to exercise powers that are necessary and proper to undertake and implement the following COVID-19 response and recovery interventions:
xxx xxx xxx
(uu) Directing all banks, quasi-banks, financing companies, lending companies, real estate developers, insurance companies providing life insurance policies, pre-need companies, entities providing in-house financing for goods and properties purchased, asset and liabilities management companies and other financial institutions, public and private, including the Government Service Insurance System (GSIS), the SSS and Home Development Mutual Fund (Pag-IBIG Fund), to implement a one-time sixty (60)-day grace period to be granted...
