The Bank of East Asia

Wholesale Banking

Pre-approved Principal Payment Holiday Scheme

Pre-approved Principal Payment Holiday Scheme

To provide relief to businesses affected by the outbreak of COVID-19, we are offering eligible corporate customers a pre-approved holiday on principal payments.

Covered Borrowers

Corporate customers which:

  • have, as an entity, an annual sales turnover of up to HK$800 million, according to their latest financial statement;
  • have had no outstanding payments payable to the Bank which were overdue for more than 30 days ; and
  • are not in the process of ceasing operations or declaring bankruptcy or liquidation.

Payments Covered        

Principal payments for all bilateral loans1,2 that are drawn down and fall due within the period specified by the HKMA.

Principal Payment Holiday / Partial Principal Repayment

Principal Payment Holiday:

6 months beginning from the original due dates of the payments covered, except trade facilities for which the payment holiday period is set at 90 days3.

Partial Principal Repayment:

  • For instalment loans – Borrowers within this scheme may, at any time, opt to resume partial repayment (e.g. 20%) of the original principal repayment over a period of one year, or (e.g. 50%) of the original principal repayment of two years on a voluntary basis.
  • For trade facilities, loans with a bullet payment due within one year, and outstanding revolving facilities – Borrowers can repay the amount due by regular instalments over a period of two years according to the circumstances.

Hotline

2211 1338

Remarks:

1  Also applies to loans for taxis, public light buses, and relevant commercial vehicles held in the name of personal customers.

2  Syndicated loans and loans financing the purchase of shares and other financial assets are not covered by the Scheme.

3   For facilities which are self-liquidating in nature, the Bank may require the loan to be settled when the underlying payment has been received by the covered borrower. 

4  Please refer to the latest circulars issued by the Hong Kong Monetary Authority ("HKMA”) for the most up-to-date information.