Clarification on the repayment of consumer loans of individuals for the period till June 30, 2020

Dear Clients,

According to Law No. 533-IX, on April 30, 2020, the grace period during which banks did not charge penalties from individual loans ends on April 30, 2020; the period during which increased interest rates are not applied to those customers who could not timely and fully repay their loan payments ends on May 31.

However, we understand that not all clients will be able to return to full-time work in May and to recover their pre-crisis income levels. This means that a part of the clients will still have difficulty servicing their loans. 

Without waiting for changes at the legislative level, First Ukrainian International Bank (FUIB) extended the grace period for clients-individuals servicing cash loans, commodity loans, credit cards and other loans secured with collateral until June 30. This means that for those clients who will not be able to repay their loan payments in a timely manner, the bank will not apply penalties and increased interest rates on loans to individuals until June 30, 2020.

How to understand the innovations:

• Prolongation of the grace period does not release the client from the obligation to pay the loan payments for March-June 2020.
• The total of obligations stipulated in the contract (credit body and interest) is not reduced - the client has to pay them in full. If the client has formalized loan repayment holidays, payments on the body of the loan, which are temporarily not accrued, will be spread over the number of payments remaining until the loan is fully repaid.   
• In case obligatory payments are not made or partial payments are made between March 1 and June 30, the amount due will be included as late payment.
• Until June 30, the bank will not accrue fines, penalties, or apply a higher interest rate on late payments.

What should clients do:

• If possible, pay the amount of the minimum monthly loan repayment in full or in part in order to avoid the burden of paying off the loan.
• If necessary, it is possible to apply for loan repayment holidays for cash loans and loans for purchase of goods. You can do this by filling out a form on the website.
• Loan repayment holidays for credit cards are introduced automatically for all FUIB credit card holders and are effective until May 30, 2020.