Aggregated News From Investment Management Regulators

CMF extends special treatment of provisions for commercial loans rescheduling

Report/Flag

Please complete the required fields.



  • The period for financial institutions to reschedule loans in this portfolio with a special treatment of provisions is extended from four to six months.
  • The measure aims to facilitate access to the new FOGAPE Covid-19 guarantee lines.

April 27, 2020.- The Financial Market Commission (CMF) extended from four to six months the transitional treatment applicable to provisions required for rescheduling commercial loans. Said measure applies to supervised banks and cooperatives.

In early April, the CMF announced that financial institutions could temporarily apply a special provisioning regime until July 31, 2020 for installments rescheduled by customers with up to 30 days of arrears. The aim was to facilitate the rescheduling alternatives that entities could offer to individuals and companies. Regarding the commercial portfolio, the extension of the installments rescheduling period subject to such treatment of provisions aims to facilitate access to the new Covid-19 lines – with state guarantee – of the Guarantee Fund for Small and Medium-Sized Entrepreneurs (FOGAPE, for its Spanish acronym). This measure achieves consistency with the grace periods set in the program.

The Financial Market Commission stresses the importance of financial institutions providing their customers with clear, accurate information about their offers: credit conditions; insurance involved; associated costs; and any relevant data to make adequate decisions.

Source link

Regulator Information

Recent Articles

Proposed amendments to permit reduced margin for swap position partial offsets held in inventory

Executive Summary IIROC is proposing amendments to the IIROC Rules (Proposed Amendments) that would permit margin reductions for Dealer Member (Dealer) inventory offsets of: non-equivalent...

FINRA Requests Comment on a Proposal to Shorten the Trade Reporting Timeframe for Transactions in Certain TRACE-Eligible Securities From 15 Minutes to One Minute

Summary FINRA is soliciting comment on a proposal to amend Rule 6730 to reduce the Trade Reporting and Compliance Engine (TRACE) trade reporting timeframe for transactions in all TRACE-Eligible Secur

FINRA Reminds Firms of Their Obligation to Supervise for Digital Signature Forgery and Falsification

Summary FINRA has received an increasing number of reports regarding registered representatives and associated persons (representatives) forging or falsifying customer signatures, and in some cases s

Notice of Annual Meeting of FINRA Firms and Election Proxy

Summary FINRA will conduct its Annual Meeting of firms on Friday, August 19, 2022, at 10:00 a.m. Eastern Time in the FINRA Visitors Center at 1735 K Street, NW, Washington, D.C.

Get the latest from Regulatory.News in your inbox!

×