Swedbank to grant year-long loan payment relief to clients missing after Nepal floods

Swedbank has announced that clients who went missing in the late-August floods in Nepal will have their mortgage principal and interest payments suspended for 12 months, and no interest will be charged on their credit card balances during this period. Daily account package fees will also be waived, and the bank has taken additional measures to protect funds linked to payment cards.

If missing clients had active e-invoices set up, these will continue to be paid automatically as long as sufficient funds remain in the account. Relatives concerned about account balances can top them up with their own transfers.

Temporary guardianship required

For other matters, the bank is asking affected families to contact Swedbank directly to agree on individually tailored solutions. However, due to data protection requirements, the bank can only share detailed account information with relatives once a court has established temporary guardianship over the missing person's property. Courts reportedly review such applications within a few days, and the ruling takes effect immediately. Once the court grants guardianship, the local orphan's court appoints a temporary guardian, who then gains the right to obtain information from the bank about account balances and liabilities, and to make payments on the missing person's behalf. This authority is not limited to banking matters — it is also binding on other service providers, landlords, and state and municipal institutions.

Scale of the disaster

The collapse of a glacier in Nepal in late August triggered a flow of ice debris that caused water and mudslides from a glacial lake, causing extensive damage in both Nepal and China. As of September 9, the confirmed death toll had reached 1,410, with a further 5,651 people still listed as missing. A large group of Latvian tourists had been near the epicenter of the disaster. Latvia's Ministry of Foreign Affairs has confirmed that three Latvian residents who were in the region were not harmed by the flood-triggered mudslide, but 33 people are still considered missing.