The COVID-19 pandemic has impacted the debt repayment capabilities of borrowers at the Government Savings Bank. Despite the bank's continuous assistance measures to alleviate hardships, some borrowers have faced prolonged income loss due to the pandemic.

            Mr. Witthaya Rattanakorn, Director of the Government Savings Bank, stated that the bank is aware of the challenges borrowers are facing during this time and intends to assist them by alleviating concerns about legal proceedings. The bank will postpone legal actions against NPL borrowers from now until December 31, 2021.

            This postponement of legal actions against NPL borrowers affected by COVID-19 is designed to reduce the burden on those who became NPLs before August 1, 2021. It includes four types of loans: 1) Personal loans for individuals 2) Loans for low-income individuals 3) Loans for teachers and educational personnel 4) SME business loans with a credit limit of up to 20 million baht.

            The bank will delay filing lawsuits until the end of 2021, which includes borrowers who have entered into settlement agreements in court and have been making regular payments but began to default between April 1, 2020, and July 31, 2021. The bank will suspend legal actions (not filing lawsuits, not seizing assets, not auctioning, and not filing for bankruptcy) depending on the status of each borrower.

It should be noted that this announcement to suspend legal actions is intended to assist borrowers who meet the criteria and became NPLs before August 1, 2021, only. This will be a one-time measure with no extension of the deadline in the future. The bank advises borrowers facing difficulties to contact their respective Government Savings Bank branch by December 31, 2021.