BRSA introduces new restructuring rules for credit cards and consumer loans

The Banking Regulation and Supervision Agency (BRSA) has implemented significant changes regarding the restructuring of individual credit card and consumer loan debts.

With the new regulation, it has become possible to restructure these debts for up to 48 months.

In this process, application and maturity periods have been shortened, aiming for a faster and lower-cost restructuring. Individual customers must apply within 3 months to take advantage of this opportunity.

Customer groups eligible for the restructuring opportunity have been determined as follows: Credit card users who cannot pay their periodic debt partially or in full, consumer loan holders experiencing delays in principal or interest payments, and individuals with previously restructured debts.

In the restructuring of credit card debts, the card limit will not be increased until half of the debt is paid. For consumer loans, it will not be possible to grant new loans exceeding the current debt balance. These regulations are among the steps taken within the macroprudential framework to support financial stability. The Central Bank of the Republic of Turkey (CBRT) has also set the maximum interest rate to be applied to credit card restructurings at 3.11%.

The BRSA's new decision contains significant changes compared to previous practices. Now, not only those who cannot pay the minimum amount but also cardholders who cannot pay their periodic debt partially or in full will be able to benefit from the restructuring. For consumer loans, the delay period requirement has been removed, and all types of overdue payments have been included in the scope of restructuring.

Furthermore, the debt balance used as the basis for restructuring has also been changed. While previously the debt balance on the date of the decision was taken into account, transactions will now be carried out based on the debt balance on the date of restructuring. It has also become possible to restructure loans that were previously restructured before the decision date, even if there is no delay.

News Source: 12punto