OREANDA-NEWS. March 09, 2012. In November 2011, when the banking activity was suspended, Bank SNORAS had issued more than 483,000 valid debit and credit payment cards of various types. After Bank SNORAS activity was suspended clients became unable to use their cards but have continuing credit obligations which must be paid. The Bankruptcy Administrator has established how clients who have credit card balances can use their available set off towards discharging their obligations to the Bank, reported the press-centre of SNORAS.

"We draw to your attention that the agreements and the interest charges applicable to Snoras credit cards still remain valid and, therefore, the sooner the clients who have set off available elect to apply this to covering their debts, the less interest for the utilised credit will be accrued. If the client does not make an application to the Bank, the client's payments must be performed under the conditions established in the existing agreement," informs Neil Cooper, the Bankruptcy Administrator of Bank SNORAS.

The set-off amount is the sum of the client's balances in Bank SNORAS, not exceeding EUR 100,000 (LTL 345,000), which were not paid out according to the Law on Insuring Deposits and Obligations for Investors, and remain available to set off against the client's debts to the Bank.

By the decision of the Bankruptcy Administrator, for clients who do not have other loan balances and whose debt amount to the bank (the used credit limit, accrued interest and default interest) is not more than LTL 10 greater than the sum to be set off, the offset will be performed automatically. The responsible employees of Bank SNORAS will soon contact the credit card holders, whose debt to the bank exceeds the sum to be set off by more than 10 LTL, and agree with the client how to proceed to use the set off.

These credit card holders will be able to choose from the following options: (1) covering the debt to the bank by paying the difference between the debt and the sum of available set off; or (2) utilise the set off only as their obligations for interest arise and final repayment is due upon expiration of the card term. If the client later on decides that he wants fully to cover the debt to the bank before the card agreement expires, he can exercise the first option above at any time.

If the Bank's client, apart from the credit card credit debt, has other loan balances, then he may chose which loan transaction to cover and apply available set off, i.e. to choose whether first to cover the credit card debt or another loan.

Presently Bank SNORAS clients can get advice on set off against loan obligations and on other issues from 17 branches of Bank SNORAS in the large cities of the country. There the clients can also submit written queries or other correspondence to the team of the Bankruptcy Administrator or specialists of the Bank.

Information about the set-off order and frequently asked questions and answers to them are also posted on the Bank's website http://www.snoras.com/. The administration fee will no longer be charged for the holders of Bank SNORAS cards, as all the issued cards are invalid. The cards should therefore be cut up and thrown away.