Absa Bank Kenya PLC has announced the restructuring of customer loans amounting to over KES8.3 billion in the last two weeks. Absa says this is part of a bigger relief programme meant to help customers deal with the financial difficulties occasioned by the Covid-19 pandemic.
Under this programme, the bank is offering all customers an initial loan repayment relief of up to three (3) months for Personal Loans, Mortgages, Asset Finance, Credit Cards as well as Business Loans. Customers can request an extension of the repayment relief period to a maximum of 12 months which will be assessed on a case by case basis.
Further, customers can extend their credit life insurance cover for three months at no additional cost.Customers will not incur any extra processing fees as a result of the relief. However, interest will accrue and the loan repayment period will be extended to accommodate the relief.
Absa Bank Kenya PLC Managing Director Jeremy Awori said:
” “As the world continues to grapple with the Covid-19, the economic impact of the pandemic remains a great concern for our country, businesses and individuals. We understand that these are challenging times and we are working with our customers to support them get through these extraordinary times. In line with this, we have reviewed our credit terms and developed various options that we believe will cushion them against the prevailing financial difficulties.”
Customers with personal loans have been instructed to send their ID number to 22268 on or before 16 April 2020, after which they will be notified on the outcome of their application.
Those with Scheme loans, which are loans offered through their employers, have been instructed to contact their employers to access the loan repayment relief options available.
While customers with Business loans have been asked to speak to their Relationship Managers or call Absa Bank contact center to access the loan repayment relief options available.
Additionally, Absa bank has waived all access charges for the Absa Integrator, the online banking platform that enables business customers to transact in real-time.
Meanwhile, Credit Card customers have been instructed to either reduce their repayments to as low as 5{d59e984f9fbc5c09e4ab0305e27bfa5819922b7230cd324f89a660f78358ca33} of the outstanding balance or pay in equal monthly installments of up to 12 months.
The bank said that it would continue to monitor the situation as it evolves and adjust its offering to provide customers with financial continuity during and beyond this pandemic.