In an advisory issued by the Securities and Exchange Commission last May 20, financing and lending companies are reminded to comply with the provisions stipulated in Republic Act No. 11469 or the Bayanihan to Heal As One Act, and its implementing rules and regulations (IRR).
Section 4 (aa) of the Bayanihan Act provides the President the power to implement a minimum 30-day grace period for all payment of all loans as the country is currently under community quarantine due to the coronavirus pandemic. Moreover, financing and lending companies need to provide more time to settle loans.
In the IRR issued by the Department of Finance last April 01, all lenders (including those under the supervision of the SEC) to apply an initial 30 day grace period to all loans with principal and/or interest falling during the ECQ period. Moreover, the grace period shall be extended once the ECQ is extended by the President. Related: Eight signs of a personal loan scam.
Furthermore, last May 06, the Inter-Agency Task Force (IATF) issued a resolution directing all banks, quasi-banks, financing companies, lending companies, and other financial institutions to count the grace period from the respective due dates of qualified loans or until the community quarantine is lifted, whichever is longer. Read more: You can’t be forced to pay your loans right now, SEC says – an article published by the Female Network.