Measures supplementing the loan moratorium
The measures approved by the Spanish government to reduce the impact of the crisis caused by Covid-19 include the moratorium on the payment of instalments of both mortgage loans and consumer loans. This measure involves the suspension of the debt, so that the creditor may not demand payment of the instalments of the loans included in the moratorium for a period of three months.
Whether you were unable to access this moratorium because you did not meet the requirements, or you did access it but you see that the three months are coming to an end and your financial difficulties persist, remember that there are other solutions you can take advantage of.
On the one hand, the Spanish government has set up a special moratorium regime which, in addition to extending the group of people who can benefit from this measure, may allow those who benefited from the legal moratorium to extend the deferral once the three-month legal moratorium period has ended. On the other hand, those who did not access the legal moratorium because they did not meet the requirements could meet the requirements in this case and obtain a deferral of their debts. You should be aware that the conditions of these deferrals are not the same as those of the legal moratorium.
These moratoriums arise from private-sector agreements, in which the institutions participate through their representative associations. For more information on this measure, we recommend you consult our post on sectoral moratoria. Bear in mind that, following the recommendation of the European Banking Authority, the sectoral agreements have extended the possibility of requesting these moratoria until 29 September 2020.
Moreover, remember that for mortgage loans on main residences, there are rules to protect mortgagors experiencing financial hardship, which include a series of measures in the Code of Good Practice, to help debtors with difficulties paying their mortgage. Check the requirements to benefit from this possibility and access debt restructuring, debt reduction or dation in payment.