Ausbanc asks banks for special lines at no cost and without generating late payments in banks
After the meeting of European Central Bank (ECB) and the announcement of economic measures, launched by Christine Lagarde, to deal with the crisis of Covid-19Some associations, such as the Association of Users of Banking Services (Ausbanc), have requested the establishment of a series of "credit lines to cover the payments of loan contracts, in any modality, to the 0% rate”, As explained by the same entity in a statement.
The entity's decision to claim this measure is the consequence of “the European central bank is lending money to all the banks in the Eurozone below 0% ”, he indicates. And in addition, "it charges them for deposits, thereby facilitating and almost obliging them to take and execute measures such as the one proposed by Ausbanc".
In the same request to the banking sector, the Association adds that the implementation of this measure would be for "payable in six months once the exceptional measures are withdrawn established by the Government ”and in“ monthly terms during a complete fiscal year ”. In this way, Ausbanc sources explain, "these payment commitments are met without the need to go to the beginning of the rebus sic stamtibus (which can be translated as 'things are like this') and do not generate delinquencies in financial entities or financial overruns in the borrowers. "What, according to the Association, could end up" damaging their solvency levels. "
Between the measures announced by LagardeLast week, the launch of a new financing program in favorable conditions for banks (LTRO) to offset credits to companies that are in trouble, and also relax the solvency and liquidity requirements for the sector. Likewise, the asset purchase programs with an additional amount of 120,000 million until the end of the year.