Payment Difficulties

for mortgage borrowers-consumers

Recently, as a result of a sharp increase in the EURIBOR rate, the financial burden on consumer borrowers has also increased, which in some cases leads to difficulties for the borrower to fulfil their existing loan obligations.

BluOr Bank encourages mortgage loan borrowers, in case of difficulties with making loan payments, to contact the bank in a timely manner and inform about it, so that the bank can individually assess the borrower’s situation and find the most appropriate solution.

In case of difficulties, BluOr Bank offers the following solutions to help fulfil loan obligations:

• Principal payment holiday: for a certain period, only interest is paid on the loan, but not the principal amount. Thus, the principal amount remains the same, and the loan repayment schedule is revised when the period in which only interest payments are paid ends.

• Reduced payments for loan repayment: reduction of loan principal payments over a certain period to adjust the affected cash flow situation of the borrower. Interest is still payable in full.

• Grace period/ moratorium on repayment of obligations: during a certain period, loan payments (principal amount and interest) are not made.

• Debt/interest capitalization: addition of the unpaid debt amount (loan principal, interest and other payments) to the outstanding loan principal.

• Interest rate reduction: reduction of the fixed part of the interest rate.

• Loan extension: extension of the loan term (i.e. the last day of payment for the loan specified in the contract), which allows to reduce the amount of payments by distributing the repayment over a longer period.

Having assessed the borrower’s situation, other additional solutions can be found to overcome the period of difficulties.