In view of the impact of the Enhanced Community Quarantine (“ECQ”) and Stringent Distancing Measures over Luzon and across provinces in the country, the SEC issued a notice dated 23 March 2020 strongly encouraging all financing companies (“FC”) and lending and lending companies (“LC”) to adopt debt relief measures.
Pursuant to said notice, FCs and LCs are encouraged to implement measures such as, but not limited to the following:
a. Lowering of interest rates;
b. Waiver or reduction of penalties, charges and other fees;
c. Loan term extension;
d. Suspension of collection;
e. Payment holiday; and
f. Debt consolidation
FCs and LCs are also encouraged to develop and implement their own programs and schemes that will provide financial relief to their borrowers