The suspension of credit debt repayments will offer relief to both members of the public and businesses, the Minister of State for Finances at the Ministry of Finance stressed at the Friday online press conference of the Operational Group responsible for the containment of the coronavirus epidemic.
At the same time, Gábor Gion pointed out that customers should continue the repayment of overdraft and credit card facilities due to the high interest rates attached to these products.
He said, despite the moratorium, 40 per cent of members of the public and 30 per cent of businesses continue to repay their credit debts which shows that today the financial situation of the population and businesses is much more robust than it was at the time of the 2008 crisis.
He added that the rate of retail savings stands at 12 per cent of annual incomes which is the highest rate among Member States of the European Union.
The credit debt repayment moratorium introduced by the government is unique also worldwide because it is available not only to those who are provably affected by the crisis, but in general, and relieves debtors of the repayment of their credit debts until the end of the year, while in neighbouring countries this measure was only introduced for a period of three months, Mr Gion said.
He drew attention to the fact that the measure in question also extends to overdraft and credit card facilities. At the same time, he recommended that everyone should continue the repayment of these credit debts because the interest rates attached to these products are very high.
If a person notified their bank that despite the moratorium they want to continue the repayment of their credit debts, but later finds themselves in a difficult situation, they can avail themselves of the moratorium at any time, the Minister of State added.
(Ministry of Finance/MTI)