According to a press release issued on Friday by VIEDA, the Virgin Islands Economic Development Authority announced that the lending arms of the Government Development Bank and the Small Business Development Agency have embarked on a new loan policy to assist clients in paying off their outstanding loan balances.
The new 90-day Loan Amnesty Program will remain in effect until July 16.
According to Percival E. Clouden, chief executive officer, the GDB/SBDA Loan Amnesty Program includes a waiver of payment of up to 100 percent of a loan’s accrued interest and all accumulated late payment penalty fees. Discounts are also available for GDB and SBDA borrowers with loans that are delinquent for more than 151 days.
“This loan amnesty program can remedy some of the challenges GDB/SBDA clients have been facing during this economic crisis by providing possible payment options for small business owners,” said Clouden. “The de Jongh/Francis Administration supports the discounting and loan restructuring initiatives adopted by the GDB and SBDA in collaboration with the VIEDA to help ease the burdens of delinquent borrowers.”
Accounts with loan principal balances paid in full by July 16 will be offered a 100 percent discount on accrued interest and late payment penalty fees or a 50 percent discount on interest if the loan principal balance is paid down by at least 50 percent, along with a new payment schedule that may be negotiated. Loan restructuring options are also available.
Payments can be submitted by cash, money order, certified check, or cashier’s check and sent to the VIEDA by mail, or hand delivered to the VIEDA’s offices.
For more information on the “GDB/SBDA Loan Amnesty Program,” contact the VIEDA’s Lending Division on St. Croix at 773-6499 or the VIEDA office on St. Thomas at 714-1700. People can also visit the VIEDA’s office on St. Croix at No. 116 King Street in Frederiksted or the office on St. Thomas at 5055 Norre Gade in downtown Charlotte Amalie.
