What to do if you cannot repay a loan?

1. Contact the creditor:

• Immediately contact the bank or lending institution where you took out the loan and inform them of your situation.
• Ask for detailed advice on possible solutions to the problem.

2. Submit an application for debt restructuring:

• The application may include a request for:
• Reducing the amount of monthly payments.
• Temporary freezing of payments (loan repayment holidays).
• Extension of the loan term.
• The application may require supporting documents explaining your financial situation (certificate of loss of income, property damage, etc.).

3. Check the availability of benefits:

• Prohibited during martial law:
• Charging fines and penalties for late payments.
• An increase in the interest rate, if not provided for in the agreement.
• If your loan is secured by property, check whether you can apply for a loan suspension or cancellation, for example, in the event of damage or destruction of the property.

4. Explore the possibilities of state support:

• If you belong to a priority category (military, medical, education, etc.), find out about available support programmes, such as reducing the financial burden through preferential terms.

5. Keep in touch with the bank:

• Avoid ignoring the creditor's demands. Constant communication will help you avoid court debt collection or property seizure.

6. Consult a lawyer:

• If the bank refuses to meet you halfway, contact a lawyer to analyse your loan agreement and develop a defence strategy.

Important: Regardless of your situation, the loan debt remains an obligation and must be fulfilled. Follow the suggested guidelines to avoid negative legal consequences.