Policy Bank: 5-year debt extension for households whose cattle died from the cold

(Baonghean.vn) - NHCS has just issued a dispatch on applying debt extension measures (extending the repayment period) for loans with losses of less than 40%; debt rescheduling for up to 3 years for loans with losses of 40% to less than 80% and debt rescheduling for up to 5 years for loans with losses of 80% to 100%.

Buffaloes die of cold in Que Phong (Photo: Que Phong Television Station)

Due to the impact of the strong and continuous cold air, severe cold has occurred in the Northern and North Central provinces, with frost and snow in the highlands. Severe cold and frost with snow have caused damage to crops and livestock, including damage to preferential credit capital of the Social Policy Bank. According to reports from the Social Policy Bank branches, as of noon on January 28, 2016, 5,085 households borrowing capital from the Social Policy Bank had suffered losses with a total loan capital of over 127.3 billion VND, 4,662 buffaloes and cows died and about 1,540 hectares of crops and aquaculture of the people were damaged.

To proactively overcome the consequences caused by natural disasters, the VBSP has issued a telegram requesting the VBSP branches in the affected provinces to coordinate with the local authorities, socio-political organizations and borrowers at the VBSP to promptly grasp the damage caused by natural disasters. Based on the level of damage of each loan, the VBSP where the loan is made will coordinate with relevant units to guide people to prepare documents and implement the request to handle risky debts according to regulations. At the same time, the VBSP has promptly sent working groups to the localities that have suffered heavy damage to directly instruct the branches, meet and guide people.

Regarding the damage caused by natural disasters, the VBSP will apply debt extension measures (extend the repayment period) for loans with damage of less than 40%; debt rescheduling for up to 3 years for loans with damage from 40% to less than 80% and debt rescheduling for up to 5 years for loans with damage from 80% to 100% (during the debt rescheduling period, customers do not have to repay the debt and do not have to pay interest). In addition, the VBSP will continue to consider the needs of the people to provide additional loans and new loans, helping people have capital to continue maintaining production and business, and stabilize their lives.

Pearl