BAM has announced a cut of 0.25% – 0.50% in all types of its loan interest rates to help relieve burdens of its customers in the wake of the COVID-19 pandemic, taking effect as from April 10, 2020 onwards.
Mr. Somporn Moonsrikaew, President of Bangkok Commercial Asset Management Plc. (BAM), said that the Company has announced a reduction of 0.25% - 0.50% in all types of its loan interest rates, with its MOR to decrease to 6% p.a., MLR to 5.50% p.a. and MRR to 6% p.a., in order to help relieve the burdens of its customers undergoing debt restructuring and those buying NPAs from BAM under an installment payment plan who have been stricken by the COVID-19 outbreak. Such interest rate reduction will fit with the existing financial condition and align with the Bank of Thailand’s earlier cut of the policy rate.
The interest rate cut will help relieve the burdens of customers undergoing debt restructuring and those buying NPAs from BAM under an installment payment plan, especially customers who are making installment payments with interest at MLR – 3%, which will be reduced to only 2.50%, or customers paying their installments at MLR, which will be cut to 5.50%. Such interest rate reduction will take effect as from April 10, 2020.
To further help lessen customer burdens in 2020, BAM has provided its customers buying properties with installment payments and approved sale price of not over Baht 3 million with a special promotion of 0% interest rate in the first two years, after which interest will be charged at MLR of BAM for the rest of the agreement term (except for special price properties). Moreover, customers with low income or limited budget who wish to buy a condominium unit with installment payments from BAM at a price of not over Baht 500,000 will be offered a special promotion under the Condo Don Jai Sabai Krapao campaign with no down payment and a starting installment payment of only Baht 700 – 2,800 per month in the first year (based on value of property) together with interest rate of 0% in the first two years and at MLR from the third year onwards.
In addition, BAM has launched the Suk Jai Dai Ban Khuen Project to assist its debt restructuring customers who have offered their residential properties as collateral and have principal amount of not over Baht 10 million each, whereby they will be allowed to repay their debt by only 80% of the appraised value with interest rate of 0% in the first two years and at MLR from the third year onwards. Meanwhile, the SME customers will be provided with the BAM Helps Revive Business Project under which customers who have principal amount of not over Baht 20 million each will be allowed to repay their debt by only 80% of the appraised value with interest rate of 0% in the first year, at MLR-1% in the second year, and at MLR from the third year onwards.