Santander offers moratoriums on home loans
Mortgage holders will be able to hold back paying principle for three years
Banco Santander announced on Wednesday that starting August 1 it will offer a moratorium on paying the priniciple on home loans for three years for individuals and families who have lost at least 25 percent of their earnings because of unemployment or cuts in salary.
Current clients who will take up the offer will still have to pay the interest on their mortgages during the three-year time frame. The unpaid principle will be paid over three years starting after the last year the mortgage loan matures.
Santander CEO Alfredo Sáenz, who made the announcement at the presentation of the bank's results, said it "will be a great relief" for Spaniards who are having trouble trying to manage their finances.
