Deferral of payment of corporate credits

Affected companies can apply for a deferral of the capital repayments of the corporate credit with their bank/credit institution, in the context of  the current COVID-19 crisis. This means that the businesses will still have to pay the interests on these loans.

The following conditions have to be fulfilled by the affected companies:  

1. It concerns a non-financial enterprise, SME, one-man business or non-profit organisation. The deferral of payment cannot be requested by public authorities;

2. The company encounters payment problems because of the COVID-19 crisis:

• Turnover/activity has decreased;
• There is (complete or partial) temporary or permanent unemployment within the business;  
• The business was forced to stop its activities.

3. The company has a permanent seat in Belgium; 

4. Before the crisis, the company had no arrears on current credits/taxes/social security contributions on February 1, 2020 or arrears of less than 30 days on February 29, 2020;

5. The company has fulfilled its obligations with all banks during the last 12 months before 31 January 2020 and is not undergoing an active credit restructuring.

Deferral of payment can be requested for following corporate credits:

• Credits with  fixed instalments (with a fixed repayment plan);
• Overdraft facility arrangement (cash credits);
• Straight loan (fixed advances).

Deferral of payment can be requested for a period until 31 October 2020 at the latest and can only be requested for future monthly payments.

There are no additional administrative costs as a result of the deferral of payment. However, the duration of the credit will be extended by the months of the deferral.

Useful links

https://www.febelfin.be/nl/consumenten/artikel/charter-betalingsuitstel-ondernemingskredieten