The Consumer Debt Clearance Statute Article 54-1

If the special provision for the residential mortgage cannot be agreed upon in accordance with the preceding paragraph, even if the mortgage provides that the repayment period shall become due if the debtor is deprived of interest in expectancy, such provision shall not bind the debtor, and repayment shall be determined by the following methods:1. The total amount of the unrepaid principal of the debts in the residential mortgage, and the interests which have become due as originally agreed, as well as the default penalty not exceeding the annual rate of 2% of the principal incurred before the court's ruling on the initiation of the rehabilitation process, shall be evenly repaid by installments on a monthly basis before the final repayment period as originally agreed, and the interests on the unrepaid principal shall be accrued at the originally agreed interest rate at the time of payment of each installment.2. Before the expiration of the final repayment period specified in the rehabilitation proposal, interest shall be accrued on a monthly basis only on the unrepaid principal of the debt in the residential mortgage at the interest rate as originally agreed. After the expiration of the final repayment period, the total amount of such principal, the interest which became due previously, and the default penalty not exceeding the annual rate of 2% of the principal which has been incurred before the court's ruling on the initiation of the rehabilitation process ruled by the court, shall be evenly repaid on a monthly basis before the final repayment period as originally agreed, and the interests on the unrepaid principal shall be accrued at the originally agreed interest rate at the time of payment of each installment.If the remaining period of the final repayment period of the debt in the residential mortgage as originally agreed is shorter than the final repayment period specified in the rehabilitation proposal, it may be extended to such final repayment period.If the debtor has difficulty in the performance according to the periods under the preceding two paragraphs, the period of his/her performance may further be extended to 6 years.If the period is extended under the preceding Paragraph, interest shall be accrued on the unrepaid principal at the originally agreed interest rate.