Banks are using preemptive measures to help mortgage clients handle rising rates as central bank hikes affect floating mortgage interest rates.
Thakorn Piyapan, president of TMBThanachart Bank (ttb), said the bank has offered some mortgage customers the option to increase the monthly debt repayment amount or extend the loan period to ease the higher debt burden per month amid rising interest rates.
Most of the bank’s mortgage clients have been able to repay debt as usual thus far amid rising interest rates, said Mr Thakorn.
If the Bank of Thailand raises its policy rate by 0.5 percentage points, many of ttb’s customers should still be able to service the debt, he said.
However, around 0.5% of mortgage clients would face difficulties with the debt payment, said Mr Thakorn.
If the central bank hikes interest rates, 0.5% of ttb’s mortgage clients cannot reduce the…
