Brazil's biggest lenders delay $44 billion in loan for consumers, companies
- Brazil’s top four listed lenders are giving months-long extensions for consumers and companies to repay 235 billion reais (US$43.98 billion) in outstanding loans, a move to give financially squeezed borrowers a breathing room.
- The loans subject to forbearance programs, which range from 13% of Banco Santander Brasil SA’s (SANB11.SA) portfolio to 10% of Itau Unibanco Holding SA’s (ITUB4.SA), are an indicator of potential defaults.
- The extensions, granted between March and June, vary from 60 to 180 days, depending on the bank. That echoes the situation at their U.S. cohorts, some of which acknowledge more loans may go bad as forbearance plans expire.