{"id":4450,"date":"2022-06-27T10:25:39","date_gmt":"2022-06-27T09:25:39","guid":{"rendered":"http:\/\/www.btsasociados.com\/?p=4450"},"modified":"2022-06-27T10:25:39","modified_gmt":"2022-06-27T09:25:39","slug":"what-if-i-cannot-repay-my-ico-loans","status":"publish","type":"post","link":"https:\/\/www.btsasociados.com\/en\/what-if-i-cannot-repay-my-ico-loans\/","title":{"rendered":"What if I cannot repay my ICO loans?"},"content":{"rendered":"\n

The banking sector is worried about the end of the grace period for secured loans<\/strong>. It is expected that companies will wait until the beginning of this summer to estimate the requests for remission.<\/p>\n\n\n\n

Here are a few points to bear in mind for the coming months, when the grace periods for guaranteed loans granted to companies<\/strong> with financial problems<\/strong> during the pandemic (COVID)<\/strong> begin to expire:<\/p>\n\n\n\n

1) The ICO (Instituto de Cr\u00e9dito Oficial)<\/em> supports the repayment of loans granted to entrepreneurs, both legal entities and the self-employed.<\/p>\n\n\n\n

2) The action protocol asks banks to grant loans under certain conditions. In the event that these loans cannot be repaid, the state becomes a guarantor in case the entrepreneur is unable to repay.<\/p>\n\n\n\n

3) The guarantee only covers 80 % or 70 % of the principal amount of the loan.<\/p>\n\n\n\n

4) In the event of default, the debtor is liable. The State is only a guarantor. This means that before going for cover, the bank will do its best to collect from the debtor.<\/p>\n\n\n\n

In addition, we must also take into account the forecast of major problems, remember that with the publication in the BOE of the Resolution of 30 November 2021<\/strong>, in addition to extending the deadline for applying for guarantees until 1 June 2022<\/strong>, the possibility of negotiating is also extended<\/strong> from 1 December 2021 to June 2022<\/strong>, provided that:<\/p>\n\n\n\n

1) At the request of the debtor.<\/p>\n\n\n\n

2) The guaranteed financing operation has not been unpaid for more than ninety days, nor has any of the other financing granted by the institution to the same customer.<\/p>\n\n\n\n

3) The debtor must not feign a situation of default.<\/p>\n\n\n\n

4) The financial institution has not notified the entity granting the guarantee of any non-payment of the guaranteed transaction with the debtor at the date of the application for the extension.<\/p>\n\n\n\n

5) The debtor is not subject to bankruptcy proceedings.<\/p>\n\n\n\n

6) The guaranteed financing has been concluded before 13 May 2021.<\/p>\n\n\n\n

7) The debtor has not been convicted by final judgment for offences against the Public Treasury and Social Security.<\/p>\n\n\n\n

8) Turnover, understood as the annual volume of operations declared or verified by the Administration in the corresponding annual tax form.<\/p>\n\n\n\n

If the time comes and the situation is critical, what are the possibilities?<\/strong><\/p>\n\n\n\n

THE FIRST:<\/strong> Until June 2023, it can request direct transfers for the reduction of the principal or, in other words, debt write-offs.<\/p>\n\n\n\n

SECOND:<\/strong> It can take the decision to convert the loan with public guarantee into a participative loan that is not convertible into capital.<\/p>\n","protected":false},"excerpt":{"rendered":"

The banking sector is worried about the end of the grace period for secured loans. It is expected that companies will wait until the beginning…<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[26],"acf":[],"_links":{"self":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/posts\/4450"}],"collection":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/comments?post=4450"}],"version-history":[{"count":0,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/posts\/4450\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/media?parent=4450"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.btsasociados.com\/en\/wp-json\/wp\/v2\/categories?post=4450"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}