Banks will offer a three-month moratorium on loans to self-employed workers affected by DANA

This Monday the banking associations announced a moratorium in the self-employed and small business loans observed under the influence of DANA. All self-employed workers and SMEs who have outstanding loans with banking organizations will have three months They don’t have to pay anything to financial institutions.

With this moratorium, financial institutions They will postpone payment of the full installment for mortgages and loans for three months to spend for the self-employed, SMEs and other citizens affected by DANA. In addition, in the next nine months, they only have to pay the interest on these loans.

This step is recommended by the associations AEB (Spanish Banking Association), CECA (Confederation of Spanish Savings Banks) and UNaCC (National Union of Credit Unions) moved to Ministry of Economy, Trade and Industrywhich he approved in the Council of Ministers this Tuesday. From now on, everyone in need and affected by the recent natural disaster will be able to postpone the payment of their financial debts.

This three-month moratorium It is expected to be expandabledepending on the situation. This was announced by the most representative associations in the banking sector in the emergency statement published yesterday in Madrid. This could provide economic relief to those self-employed workers, small business owners and individuals who, as a result of the disaster caused by DANA, cannot pay their debts to financial institutions. .

For three months they will not have to pay taxes and in the following nine months only interest

After the Council of Ministers this Tuesday, the agreement that the Government has reached with the banks will include that self-employed people will be able to “cancel the full payment of your loan installment consumption or mortgage for three months. And in the next nine months they would only have to pay interest.”

So, “to give us an idea, for a mortgage of 120,000 with a payment of 600 euros, in the first three months zero euros would be paid. And in the next nine months 300 euros. This will be benefit to 30,000 companies and thousands of households “said the Government.

In the same way, they are planned other support measures to those he affected, both respectivelywith each banking group, such as in collaboration by organizations such as the Institution of Official Credit (ICO).

Another of the actions being carried out – in addition to the moratorium launched for agreement with the Ministry – is to coordinate the implementation of a line of guarantees for the victims, in collaboration with the Official Credit Institution (ICO).

As announced by the President of the Government, Pedro Sánchez, this line of DANA guarantees is granted with 5,000 million euros and the Council of Ministers has already implemented the first installment, of 1,000 million euros .

It would be, according to the President of the Government, “pandemic-like funding formula”. With it, small businesses and self-employed people could access credits that were certified by the ICO through their bank. These loans will be “retool to open their companies, businesses or repair their homes as soon as possible.” Apparently, the first part of this line has already been implemented, and businesses could apply for the credits starting next week.

Banks, self-employed workers, businessmen, unions and insurance companies are summoned by the King

Spanish Banking Association (AEB)Self Employed Workers Association (ATA)Small and Medium Spanish Confederation Company (CEPYME)Confederation of Spanish Business Organizations (CEO)Valencian Community Business Confederation (CEV)Regional Confederation of Businessmen of Castilla-La Mancha and Union of Insurance and Reinsurance Organizations of Spain (UNESPA) of sheido called this Wednesday by the King to try to investigate the situation caused by the DANA disaster in the affected communities.

Seeing how representative the associations of self-employed workers and businessmen are at this meeting, it is expected that they will be discussed. Issues affecting the self-employed and small businessesas a result of DANA.