NEW YORK – New York City has so far awarded $ 5.1 million in debt cancellation to the first 26 medallion taxi owners to fully restructure their loans, Mayor Bill de Blasio announced Saturday.
The financial relief is provided by New York City’s $ 65 million Medallion Relief Program (MRP) that could result in a $ 500 million debt forgiveness for thousands of drivers.
As of this week, 954 medallion owners have completed appointments with TLC’s owner / driver resource center and are in various stages of renegotiations, a significant portion of which will be completed by the end of 2021.
“Medallion owners have more than earned their place as an essential part of the city’s transportation network, and this visionary program will ensure that those in distress get the economic justice they need to support their families and ultimately retire with the dignity they deserve, “said Mayor Bill de Blasio. “This program is the first of its kind anywhere and it truly is the best government to help our neighbors in crisis with innovative and ingenious tools. The progress we’ve made so far is really impressive. “
“TLC is fully committed to the vitality and success of the yellow taxi industry,” said TLC Commissioner and President Aloysee Heredia Jarmoszuk. “The Medallion Relief Program is providing $ 65 million in financial support, which is indisputably important, and we will not rest until we exhaust our reach to homeowners facing insolvency due to debt related to the Medallion.”
What is the program about
The Medallion Relief program will provide $ 65 million in grants to financially distressed individual medallion owners.
This includes:
- $ 20,000 down payment to restructure loan principals and lower monthly payments.
- As well as up to $ 9,000 for monthly debt relief payments.
- Many medallion owners have debt of more than $ 200,000 forgiven and loan payments reduced to approximately $ 1,500 or less per month.
- Some homeowners will achieve total debt elimination through agreements.
Offering a variety of free financial advice and legal assistance to TLC licensees, as well as connecting them to government benefits and health and wellness resources, the TLC Driver and Owner Resource Center has already provided services to more than 1,000 licensees.
TLC licensees in need of these services can call 3-1-1 or visit nyc.gov/taxi to make an appointment.
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