Definition of Debt relief:
Reduction, re-financing, re-organization, re-scheduling or cancellation of a debtor countrys foreign liabilities where otherwise little or nothing of its revenue will be left for basic sanitation, education, and health care.
Creditors may only be willing to consider debt-relief measures when the repercussions of debt default by the indebted party or parties are perceived as being so severe that debt mitigation is a better alternative. Debt relief may be extended to any highly indebted party, from individuals and small businesses to large companies, municipalities, and even sovereign nations.
The partial or total remission of debts, especially those owed by developing countries to external creditors.
Debt relief is the reorganization of debt in any shape or form so as to provide the indebted party with a measure of respite, either fully or partially. Debt relief can take a number of forms: reducing the outstanding principal amount (again, either partially or fully), lowering the interest rate on loans due, or extending the term of the loan, among others.
How to use Debt relief in a sentence?
- Options for debt relief may entail forgiving a portion of the debt’s principal, lowering the interest rate, or consolidating several debts into a single lower-interest loan.
- Consumers, firms, and even nations may all seek debt relief in times of need in order to avoid bankruptcy.
- Debt relief refers to measures to reduce or refinance debt in order to make it easier for the borrower to repay it.
- He made two long telephone calls to Bono, the rock star who has campaigned for debt relief.
Meaning of Debt relief & Debt relief Definition