Qualifications for Amnesty
- Delinquent borrowers must settle at least 20% of the outstanding principal and interest balances before acceptance into the Amnesty Program.
Amount Subject to Condonation
- All penalties on delinquent loans are included in the condonation.
- Condonation amount is the difference between the total outstanding balance and the sum of unpaid principal and interests.
Procedures of the Amnesty Program
- Upon application approval and payment of the required 20%, penalties are condoned.
- The outstanding balance is restructured; repayment period depends on the amount settled, up to a maximum of three years.
- Interest is charged based on the new repayment period.
- Failure to comply with the new payment terms results in the entire amount becoming due and demandable.
Other Provisions
- Accounts already foreclosed, with titles or proofs of ownership not yet consolidated in OWWA’s name, may avail of the Amnesty Program.
- Borrowers must pay all foreclosure-related expenses plus accrued interest from the time of foreclosure.
- Foreclosure proceedings are suspended during the Amnesty Program’s effectivity period to allow borrowers to participate.
Effectivity
- The Amnesty Program takes effect upon signing of the Executive Order.
- The program duration is one year from the date of effectivity.