Thai Cabinet Expands Debt Relief Programme to Cover 2 Million Accounts
Revised "You Fight, We Help" scheme now includes borrowers just one day in arrears and raises settlement caps, targeting over 300 billion baht in outstanding loans
Thailand's Cabinet has approved a significant expansion of the "You Fight, We Help" debt relief programme, extending assistance to an additional 1.8 million people across approximately 2 million loan accounts worth 310 billion baht in outstanding credit.
The enhanced scheme, announced on Tuesday, broadens eligibility criteria and increases settlement limits whilst extending the registration deadline until 30th September 2025
Deputy Finance Minister Paopoom Rojanasakul confirmed the Cabinet's decision, emphasising the government's commitment to making financial assistance more accessible through three revised measures.
Expanded "Pay on Time, Keep Assets" Programme
The flagship measure now includes borrowers whose payments are more than 365 days overdue, as well as those with arrears of just 1-30 days who have previously restructured their debts.
Coverage remains unchanged across four loan categories:
- Residential property loans: Up to 5 million baht per financial institution
- Vehicle hire-purchase and title loans: Up to 800,000 baht per institution
- Motorcycle hire-purchase loans: Up to 50,000 baht per institution
- SME business loans: Up to 5 million baht per institution
Under the assistance framework, monthly instalments are reduced over three years: 50% of the original payment in year one, 70% in year two, and 90% in year three.
Interest charges are waived entirely if borrowers meet all conditions throughout the three-year period.
Higher Limits for "Pay, Close, End" Option
The immediate settlement option has been expanded to cover larger debt burdens:
- Unsecured loans: Outstanding debt up to 10,000 baht
- Secured loans: Outstanding debt up to 30,000 baht
Borrowers can close accounts by paying just 10% of the outstanding balance under this measure.
New "Pay, Cut Principal" Measure
A third option specifically targets Non-Performing Loan (NPL) borrowers with unsecured debts not exceeding 50,000 baht per account.
This restructuring programme sets minimum monthly instalments at 2% of the outstanding balance over three years, with immediate interest waivers for compliant borrowers.
The government expects the expanded programme to reduce financial pressure on 1.8 million Thais whilst unlocking 310 billion baht in outstanding debt to boost consumer spending and support economic recovery.
