The beneficiaries of the Rent in Exchange for Loan Scheme are being expanded by a decision of the Cabinet, announced Finance Minister Makis Keravnos following the meeting of the Body.
“This decision by the Cabinet is aimed at further assisting our fellow citizens who are facing issues with credit acquisition companies and banks that have mortgaged their primary residences,” he emphasised.
He stated that the Scheme was opened to the public for applications on 4th December 2023 and will remain open for nine months until August 2024.
He added that the potential beneficiaries are estimated to be around 2,500 borrowers, and so far, approximately 1,450 applications have been submitted.
Referring to the two main categories of beneficiaries for participation in the Rent in Exchange for Loan Scheme, Keravnos said that these are “recipients of welfare benefits and non-viable applicants from the Housing Scheme who had an unmet loan with their primary residence as collateral.”
“After the implementation of the Scheme, the need for partial modification of the criteria has become apparent to include more beneficiaries and assist more people, without changing the essence and philosophy of the scheme, which remains targeted at vulnerable groups,” he emphasised.
Specifically, the Finance Minister said that it is proposed that the benefit receipt date for inclusion in the scheme be extended from 31st December 2022 to 31st December 2023.
Additionally, he mentioned that two new smaller categories are being created within the accepted applications related to the Housing Scheme, with the first category concerning “borrowers whose creditor did not participate in the Housing Scheme.”
The second category, according to Keravnos, concerns approved applicants in the Housing Scheme whose “approval was not implemented due to other weaknesses and issues such as the matter of settling encumbrances that had been marked on the property by creditors.”
