Last 18th March 2020, the Official State Gazette has published Royal Decree-Law 8/2020 of March 17, 2020 to confront the economic and social impact of COVID-19. The decree-law comes into force on its publication date, for a one-month term, and allows this term to be extended.
Regarding the payment of mortgage debts, the Royal Decree Law has established:
Moratorium on the payment of mortgage debts for acquisition of the principal residence for mortgagors who are unemployed or who, as entrepreneurs or professionals, suffer a substantial loss of income or drop in sales greater than 40%, or mortgagors whose family unit, in the month prior to the request for the moratorium, does not reach a certain level of income, depending on its members, the mortgage payment represents more than 35% of their income and the health emergency has altered their economic circumstances. The moratorium must be requested by the debtor from the creditor, providing certain regulated documentation. It may be requested up to 15 days after the end of the valid term of this royal decree-law and the creditor has a maximum period of 15 days in which to process the request.
Once the moratorium has been granted, its existence and duration must be notified to the Bank of Spain for accounting purposes and so that it is not included in the risk forecast calculation.
The benefit of discussion is granted, even where it has been contractually waived, to mortgage guarantors or sureties who are in a situation of vulnerability.
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