Founded in 1948 

Moscow Committee of Science and Technology

Debt restructuring

The restructuring of a loan debt is a procedure that provides for a review by the bank, at the request of the borrower, of the terms and conditions of the loan repayment. Debt restructuring is necessary when the borrower's living conditions have changed so much (for example, they stopped paying wages on time) that they can not repay the loan on the grounds prescribed in the concluded loan agreement because of objective reasons. Therefore, if you decide to take out a loan from a bank (no matter how many years), you should definitely ask in which cases and under what conditions the credit organization you have chosen, will, if necessary, carry out a restructuring of your debt.

Debt restructuring is a change in the terms of the existing loan agreement (for example, changes in the interest rate, maturity, schedule of payments, etc.). As a rule, restructuring is formalized by concluding an additional agreement to the current loan agreement. Undoubtedly, in order for the bank to carry out a debt restructuring, it is necessary to convince the credit organization that this is absolutely necessary for the borrower.