The Implications of Frozen Capital: How a Ruling is Impacting Debt and Client Payments

Soler also explained the implications of the fact that capital is frozen at values ​​from more than four years ago. “The capital is frozen to 2019; and since it is updated from that date through CVS, what our client has already paid must be subtracted. Because the problem with the UVA credit is that people pay, pay and pay; and yet he owes more. The money they paid entered a kind of black hole, and never managed to impact the capital owed. With this ruling, this will necessarily go down,” he added. The original credit, from 2018, was around $3 million. Without this ruling, the current debt would total more than $70.5 million.