Loans to military personnel will not be automatically written off: what draft law No. 15458 actually provides

Ukraine does not plan to automatically write off loans to all military personnel and their family members. Bill No. 15458, which concerns the settlement of overdue debts, provides for a different mechanism: the decision to forgive the debt will remain with the bank or other financial institution.

This was stated by the People’s Deputy and one of the initiators of the bill, Olga Vasylevska-Smaglyuk.

There will be no automatic write-off of loans

According to the deputy, after information about the bill appeared in the media, the impression could have been formed that military personnel and their families would no longer have to repay loans.

However, the document does not oblige banks and other financial institutions to automatically write off debts.

The decision to forgive the debt will, as before, be made by the creditor.

At the same time, the bill should simplify the procedure in cases where the bank itself agrees to write off bad debts.

Who are the changes affecting?

The draft law No. 15458 concerns the settlement of overdue debts:

military personnel;
civilians deprived of personal liberty;
missing persons;
their family members;
persons with disabilities during the period of martial law.

It specifically addresses cases when a creditor is ready to forgive the debt to the family of a deceased, missing or captured military personnel. The draft law is designed to eliminate tax barriers that may arise during such a write-off.

Military personnel will still have to contact the bank

The procedure for repaying loans does not change in principle. Military personnel and members of their families who want to agree on debt write-off will need to contact a bank or other financial institution on their own.

It is the creditor who will decide whether there are grounds for voluntary debt forgiveness.

Thus, bill No. 15458 may simplify the mechanism for writing off individual bad debts, but the document does not provide for a general write-off of loans for all military personnel and their families.