Loan defaulters of Nigeria’s Polaris Bank Limited, who have failed in their obligation to the bridge bank now have wider chance of escaping paying for their action as the bank yesterday announced that it has decided to wave all the charges associated with loan defaults in the meantime.
The forbearance period, according to the bank, will last for ninety days, starting from March 1st, 2020.
The lender took to its official Twitter handle explaine that the decision was taken out of consideration for its customers, some of whom might be experiencing financial difficulties due to lockdown in different parts of the country.
The Central Bank of Nigeria (CBN) allows commercial banks in the country to impose penalties on customers who default on loan repayments. However, the Polaris Bank has chosen to wave the penalties for now.
“While CBN’s guide allows banks for a 1% flat penalty for loan repayments due and not met, we have eased the pressure by waving this charge for our loan customers during this trying period of COVID-19,” the statement read in part.