Further collection operations are suspended while the default agreement is being kept. If the borrower incurred collection costs before the agreement was reached, those costs will not be waived when the agreement is concluded. Also, the loans carry interest during the contract period, so it is in the debtor’s interest to moderate the contract period.

An application for a non-payment agreement is made by:

When evaluating an application for an arrears agreement, the applicant’s previous payment history, the applicant’s ability to fulfil the agreement and the mortgage rate in the property are considered, among other things.

Claims due to a default agreement that has been entered into are established in the home bank of the borrower/payer. One claim is established for each loan that is in arrears. The claim includes the monthly installment of the loan together with the contract amount.

Monthly payments must be received no later than 5 days after the due date, otherwise the contractual claim is in default.

The installments in the arrears agreement are based on a schedule going forward so that some amount may remain at the end of the agreement period.

The loans are in arrears during the contract period and unpaid payments carry late interest, but no collection actions are carried out while the contract is in default. Contract payments are paid in on the earliest due date first and then one by one until the contract is completed. It is in the debtor's interest to be able to pay the arrears in the shortest possible contractual period, as unpaid payments carry interest until they are fully paid.