President Volodymyr Zelensky signed the Law "On Amendments to Some Legislative Acts Regarding the Moratorium on Recovery of Property of Ukrainian Citizens Provided as Security for Loans in Foreign Currency," which the Verkhovna Rada adopted on September 16. This is reported on the official website of the head of state.
The document extends until April 21, 2021 the moratorium on the collection of specified property of citizens of Ukraine and establishes a ban on the compulsory collection of property (property rights) if it is used as a place of permanent residence of the borrower or is the object of unfinished housing construction.
The moratorium was extended taking into account the situation in which borrowers found themselves due to the depreciation of the national currency since 2008, and, as a result, the impossibility of paying loans in foreign currency at the current exchange rate.
It also establishes a ban on compulsory collection of other property (property rights) under mortgage contracts from persons who have obligations under loans granted to them in foreign currency, and a ban on credit institutions ceding their claim rights to the borrower in favor of a second party.
"The law will contribute to the protection of property rights of citizens, taking into account the deterioration of their financial situation due to the outbreak of the coronavirus disease and the introduction of restrictive measures in connection with it. The document will provide support to citizens of Ukraine who have unfulfilled obligations under credit agreements in foreign currency," the message states.
