State-run Development Bank of the Philippines (DBP) is implementing a 60-day moratorium on the payment of amortizations under its EC Credit Salary Loan program to assist its borrowers in managing their expenses during the State of Public Health Emergency, a top official said.
DBP President and Chief Executive Officer Emmanuel G. Herbosa said the payment holiday covers all salary loan amortizations with due dates covering March 15 to April 12, 2020.
“This moratorium on DBP’s EC Credit Salary Loan Program is the Bank’s firm response to the National Government’s call to ease the burden of our countrymen during this period of the State of Public Health Emergency,” Herbosa said.
The EC Credit Salary Loan program is a credit program with government agencies including Local Government Units for their respective employees. The program offers a maximum loanable amount of P1-million, with flexible payment terms of up to 48 months.
Under Republic Act No. 11469 or the Bayanihan to Heal As One Act, all banks, quasi-banks, financing and lending companies as well other financial institutions whether government or private are directed to implement a minimum 30-day grace period for the payment of all loans falling due within the Enhanced Community Quarantine period.
Herbosa said the moratorium would allow participating government agencies to defer amortization payments without incurring interest, penalties, fees and other charges.
He said the payment holiday will be automatically applied to all salary loan accounts while Auto-Debit arrangements will be put on hold and will resume after the moratorium period.
“For further details, agencies may coordinate with their respective servicing DBP branch,” Herbosa added.
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