“According to estimates prepared based on data from the Polish Financial Supervision Authoritymaximum annual cost, assuming that 100 percent will use the instrument. entitled persons, is approximately PLN 3.6 billion. At the same time, assuming that z credit holidays It is estimated that the same percentage of eligible people will benefit from the previous loan holidays cost for the banking sector at the level of PLN 2.5 billion,” it was reported in the OSR.
Changes in the Act on the so-called credit holidays
The government is scheduled to take action on Tuesday extension of credit holidays. This is a draft amendment act Act on support for borrowerswho took out a housing loan and are in a difficult financial situation and Crowdfunding Act for business ventures and assistance to borrowers.
In a letter to the Secretary of the Council of Ministers, Minister of Finance Andrzej Domański further explained that you will be able to take the holidays twice in the second quarter of this yeara in the next two quarters it will be possible to suspend one installment each.
Maximum loan amount
“At the same time, the attached project proposes to establish new threshold for the value of the loan granted at the level of PLN 1.2 million. Establishing this a threshold of three times the average loan value on the one hand, it will prevent the use of the so-called credit holidays by people who do not need such support, and on the other hand – it will take into account the prices of residential real estate in large cities – it was added. In the earlier version of the project, it was PLN 2 million.
Loan holidays will be available to borrowers who: the installment amount exceeds 35%. income.
Who will benefit from FWK?
The project also includes provisions under which it will be reduced installment to income ratio (from 50 to 40%), entitling you to benefit from support from Borrower Support Fund. This indicator means the ratio of the borrower’s expenses related to servicing the monthly principal and interest installment of the housing loan to the borrower’s monthly household income.
At the same time, the project proposes that: cancellation of 64 installments of repayment of support or loan to repay debt took place after the execution, without delay, repayment of 134 installments. Current regulations allow for the cancellation of 44 installments after repayment of 100 installments.
At the same time, the period during which support can be provided is to remain extended from the current 36 to 40 months. It will also be extended repayment period of the support or loan from the current 144 installments to 200 installments.
Credit holidays as usual
In the case of credit holidays, which could be used in 2022-2023, there were no income restrictions conditioning the use of this solution. In 2022, holidays could be taken within two months of the third and fourth quarters, while in 2023, holidays could be taken within one month in each of the four quarters.
As stated in the OSR, the total cost of current credit holidays included in the banks’ financial resultand/or capitals amounted to PLN 12.8 billion as of September 30, 2023.
author: Łukasz Pawłowski
