South Africa's Banks Mull How to Avoid Loan Defaults When Virus Relief Ends

South African banks are looking at options ranging from debt consolidation to new ways of leveraging equity to avoid defaults when coronavirus-related debt relief measures end, industry officials said, Reuters reported. The banks gave customers in good standing relief on loans during the pandemic, including payment holidays of up to three months. But some consumers are still in trouble. Some banks have offered extensions, while others like Capitec offered to refund interest accumulated during payment holidays. Jacques Celliers, CEO of FirstRand’s retail division, said the lender was worried about the impact of job losses and wanted to avoid a wave of property evictions that would affect prices. Read more