Thailand’s GSB and GHB offer debt relief and loans for flood victims

Government Savings Bank (GSB) and Government Housing Bank (GHB) have announced separate relief packages for flood victims in Thailand, including repayment holidays, interest relief and recovery loans.

The measures follow persistent heavy rain that has flooded several areas, including Bangkok and surrounding provinces, affecting homes and disrupting daily life and livelihoods.

Songpol Chevapanyaroj, GSB’s president and chief executive, said the bank was responding to the Ministry of Finance policy by suspending principal repayments for three months and waiving all interest incurred during that period.

The measure aims to ease customers’ immediate financial burdens and give them time to deal with urgent needs.

The waived interest will not be collected later, while the principal due over the three deferred instalments will be added to the final instalment.

Borrowers will resume repayments under their original contractual terms when the payment holiday ends.

GSB’s relief covers borrowers across all loan categories, subject to specified exclusions, whose domicile, residence or place of work is in an area declared a disaster zone by the Department of Disaster Prevention and Mitigation.

The bank will notify eligible customers in stages by text message or letter.

Those who do not wish to participate can notify any GSB branch or call the GSB Contact Centre on 1115 to continue making repayments as usual.

GSB’s loans on special terms include unsecured emergency loans of up to THB20,000 per borrower to cover living expenses, with repayment terms of up to 24 months.

A separate disaster assistance loan offers up to THB50,000 per borrower, repayable over up to 60 months.

Both loans require no principal repayments and charge 0% interest for the first three months.

From month four, the flat monthly interest rate is 0.60% for the emergency loan and 0.50% for the disaster assistance loan.

GSB also offers retail recovery loans of up to THB300,000 per borrower to repair work equipment or provide working capital so borrowers can resume earning a living.

Interest is 0% for the first three months, followed by an effective annual rate of 15.00% from month four, with repayment terms of up to seven years.

For borrowers whose homes have been damaged, GSB’s home recovery loans provide up to THB1 million per person, with no principal repayments and 0% interest for the first three months.

Interest is 2.00% a year in months four to 24, the minimum retail rate (MRR) minus 3.35 percentage points in year three, and MRR minus 0.75 percentage points from year four.

The bank will also contribute up to THB3,000 towards property valuation fees.

Small and medium-sized enterprises (SMEs) whose premises have been damaged, or which need to invest in disaster protection, can apply to GSB for disaster relief loans of up to THB5 million per borrower.

Where the Thai Credit Guarantee Corporation (TCG) guarantees the full loan amount, the borrowing limit is THB1 million per borrower.

Repayment terms are up to seven years, with interest at the minimum lending rate (MLR) minus 2.65 percentage points in the first year and at MLR from year two.

Principal repayments can be deferred for up to one year, subject to GSB’s terms and conditions.

GSB’s MRR is 6.045% a year, and its MLR is 6.025% a year, as announced on Monday (March 2, 2026).

“Government Savings Bank is ready to care for customers and people in areas affected by flooding, both by easing debt burdens during the floods and by supporting the recovery of homes, livelihoods and businesses once conditions improve, in line with our mission to be ‘a bank for every life’. We wish everyone affected safety and strength as we get through this difficult time together.”

Separately, Mahatana Ampornpisit, GHB’s managing director, said a strong low-pressure area had brought heavy rain to many areas, with very heavy downpours in some places, during September 25–27, triggering flash floods in several provinces.

GHB, a specialised state financial institution, has introduced seven measures under its “2026 disaster victim assistance programme” to provide relief and help those affected recover.

Existing GHB customers whose properties used as loan collateral have been affected by a disaster can suspend repayments for three months, extending to six months if the property is so severely damaged that it is uninhabitable.

During these payment holidays, interest is 0% a year, and instalments are THB0.

Customers can return to their original loan interest rate when the assistance period ends.

GHB customers needing funds for home repairs can borrow up to THB300,000 each for a maximum of five years.

The first THB100,000 carries a fixed annual interest rate of 1% for three years, while the next THB200,000 carries an annual rate of 1.99%.

No additional mortgage registration at the land office is required.

Lending criteria and conditions follow the bank’s requirements for its Home Improvement Loan and Home Improvement Loan Plus products.

GHB also offers existing and new customers additional funds to repair their homes or build replacements, up to THB2 million per borrower and per property used as collateral.

Interest is 0% a year in months one to three, with no instalments due.

The annual interest rate is 2.00% in months four to 24, GHB’s MRR minus 3.30 percentage points in year three, and MRR minus 2.40 percentage points in year four.

From year five for the remainder of the loan term, the rate is MRR minus 0.50 percentage points for retail customers and MRR minus 1.00 percentage point for customers borrowing under welfare schemes.

Loans for equipment or amenities related to residential use carry interest at GHB’s MRR, which the bank quotes at 6.145% a year.

The loan term is 40 years.

Repayments on a THB1 million loan start at THB3,100 a month.

Customers will not have to pay property valuation fees of THB1,900–2,800 or mortgage registration fees of up to 1% of the mortgage amount, helping to reduce their costs.

GHB has also set out two debt restructuring options for customers with non-performing loans (NPLs), both offering 0% annual interest for the first six months.

Borrowers whose collateral has been damaged can restructure their debt for up to one year and six months, with no instalments due in the first six months.

Interest is 1.00% a year in months seven to 18, when instalments must cover at least the monthly interest.

Borrowers whose income has been affected can restructure their debt for up to one year, paying instalments of THB1,000 in the first six months.

Interest is 1.00% a year in months seven to 12, with instalments of at least the monthly interest plus THB100.

Under both restructuring measures, the interest rate will revert to the rate to which the customer was previously entitled once the restructuring period ends.

For both performing loans and NPLs, GHB can reduce interest to 0.01% a year for the remaining term if the borrower has died or become permanently disabled.

If an entire home has been damaged beyond repair, the bank can write off the building-related portion of the debt, leaving only the remaining debt relating to the land to be repaid.

Both measures are assessed on a case-by-case basis.

GHB will also fast-track consideration of claims for all disaster-affected customers holding home fire insurance policies that cover natural disasters with insurers arranged through the bank.

Policyholders can submit photographs of the damage, with payouts based on actual losses and capped at THB20,000.

For policies with cover commencing on or after November 1, 2019, additional natural disaster cover based on actual losses is available up to THB30,000 per year.

Both insurance provisions are subject to the policy terms.

Applications for GHB’s measures are open at all its branches nationwide.

For more information, call the G H BANK Call Centre at 0-2645-9000 or visit GHB’s Facebook page.

Updates are available across all G H BANK social media channels.