Bank of America has increased $7.7 billion of loans for business customers in reaction to this coronavirus pandemic.About 2% of customers’ commercial loans was altered since of July 23, largely comprising repayment deferrals of provided 90 days, according to a quarterly regulatory filing Friday. Interest continues to accrue on people loans, and a few borrowers obtained short term waivers on covenants. From the customer and small-business branch, deferrals attained $28.5 billion.“The U.S. and global economies have been negatively impacted and are likely to be so for an extended period of time, as there remains significant uncertainty about the timing and strength of an economic recovery,” Bank of America, the second-largest U.S. bank with resources, said in the filing. “Should current economic conditions persist or continue to deteriorate, we expect that this macroeconomic environment will have a continued adverse effect on our businesses.”Client deferrals have begun to roll off in recent months, with 1.4 million set up on July 23, down from about 1.7 million two weeks earlier. More than 95% of customers who requested to delay credit card payments were current on their accountsaccording to the Charlotte, N.C., lender. Of those granted credit card deferrals, approximately 61% have made a minumum of one payment, whereas 33% have made a payment each month.In customer cards, 7% of accounts needed loan alterations. The app includes initial deferrals of provided that 60 days, together with automatic extensions for payments because of Aug. 15.
