The opportunity to apply for credit vacations launches today

As of July 29, bank customers who have a mortgage for their own housing purposes taken out in PLN can now apply for government credit vacations. It will be possible to suspend repayment of the principal and interest portion for up to eight months this year and next year. Experts estimate that this opportunity will probably be used by the majority of those eligible. 

"Today the only unknown is the behavior of banks towards customers who decide to take a vacation and apply for another loan. We hope that this time the banks will not penalize them," Michał Czekaj, a Notus Finanse financial expert, said.

Credit vacations were introduced by a law that President Andrzej Duda signed in mid-July this year. They will allow postponing the repayment of a mortgage granted in PLN for a total of eight months: two months each in the third and fourth quarters of this year and one month in each of the four quarters of next year. The suspension of repayment will cover the principal and interest portion of the loan, but borrowers will not be exempt from paying insurance premiums. The term of the loan will also be extended by the number of months for which the loan has been suspended.

"The number of borrowers who will potentially benefit from loan vacations will certainly be large. The first studies speak of 70-80 percent of people," Michał Czekaj said.

(Newseria)