We define our SME customer segment based on different criteria. As a package, this relief should minimally apply to customers with: i) annual sales turnover of up to S$100m; or ii) employment size up to 200 workers.
“Fully secured” would refer to all collateral that we currently accept for SME term loans. For movable collateral and floating charges, we may apply our internal haircuts to determine whether the loan is “fully secured” in relation to the package.
The relief should apply throughout the deferment period so long as the loan was “fully secured” at the point of application for the relief.
The industry commitment only applies to fully secured term loans, but we may extend the relief to partially secured term loans. In relation to other types of facilities like guarantees and trade finance facilities, we will make efforts to support our customers during this period of economic disruption.
As set out in the industry commitment, borrowers who opt in can choose to extend the loan tenure up to the corresponding principal deferment period.
For example, if a borrower opts into the relief on 1 July 2020, and its loan tenure ends on 1 September 2020, the borrower may choose to extend the loan tenure by 6 months, i.e. until end February 2021.
You may wish contact your Relationship Manager or call us at 1800 323 0100 to obtain further details and the necessary documents to be submitted.