Debtors of foreign currency loans will not take away the property: the Council extended the moratorium

The deputies expect to separate the solution of the problem of foreign currency loans

The Parliament of Ukraine extended the moratorium to recover propertypledged as collateral for loans in foreign currency. This solution is provided by bill No. 3640, which passed its second reading 349 votes.

The moratorium operates in Ukraine since 2014. It was assumed that he will act, while in Ukraine will come into force a law that will set the rules for the repayment of foreign currency loans. To solve the problem could the bankruptcy code, but, according to the authors of bill No. 3640, this did not happen.

The code on bankruptcy proceedings <…> did not resolved the issue of the peculiarities of the repayment of the categories of borrowers listed above (apply for loans in foreign currency. – Ed.) however, cancels the moratorium on recovery of property of Ukrainian citizens provided as collateral for loans in foreign currency from October 21, 2020″, – stated in the explanatory Memorandum.

The authors of the document expect that the issue of payments on foreign currency loans will be regulated by a separate law.

Recall, the moratorium was imposed after the 2008-2009 financial crisis and sharp devaluation of the hryvnia has led to serious problems with the payment of foreign currency loans. Now consumer loans in foreign currency in Ukraine is prohibited.