Bankia Receives almost 20,000 Requests for Mortgage Moratoriums due to the Crisis

To date, Bankia has received more than 19,400 requests for mortgage moratoriums and 14,100 requests for repayment holidays on consumer debt.

To date, Bankia has received more than 19,400 requests for mortgage moratoriums and 14,100 requests for repayment holidays on consumer debt. The figures published by the entity chaired by José Ignacio Goirigolzarri followed those announced by Banco Santander this week, which revealed that it has received 45,000 requests for mortgage moratoriums.

Bankia reported its quarterly results on Wednesday. It generated a net profit of €94 million during the first quarter, down by 54.14% year-on-year after it was forced to recognise extraordinary provisions amounting to €125 million.

Banks Get Ready for More than 500,000 Requests for Mortgage Moratoriums

Financial institutions expect at least half a million families to apply for a moratorium on their mortgages in May, with an impact on between 500,000 and 1.3 million real estate loans.

Financial institutions expect the launch of a mortgage moratorium for those homeowners affected by the coronavirus crisis to lead to an avalanche of requests in May, more than 500,000 to be specific, according to El Confidencial. Of those, between 75% and 90% will come from private clients.

According to a report compiled by the consulting firm Álvarez & Marsal, the moratorium will have an impact on between 13% and 33% of the mortgage portfolios of Spanish banks, which could mean an impact on between 500,000 and 1.3 million real estate loans.