Award-winning taxi drivers in New York will receive debt relief – NBC4 New York

NEW YORK – The program that will provide hundreds of millions of dollars in debt relief to more than 3,000 Medallion taxi owners began Monday, September 19.

As of this date, medal lenders and homeowners can enter into renegotiated loan agreements that include a city-funded loan guarantee and provide essential debt relief and lower monthly payments to medallion homeowners in a fraction of the time critical moment in the history of the industry.

The program is in an improved version of the Medallion Rescue Program announced last year. This allows lenders and medallion owners to proceed with renegotiated loan agreements that include a city-funded loan guarantee

The New York City Agreement it was announced in late August by Mayor Eric Adams and the chairman and commissioner of the Taxi and Limousine Commission. This was finished with Marblegate Asset Managementthe largest taxi medal lender in the city, and the New York Taxi Workers Alliance (NYTWA) on the operating terms of a program that will provide hundreds of millions of dollars in debt relief.

The City, TLC, Marblegate and NYTWA have reached an agreement to implement MRP + and restructure outstanding loans up to a maximum principal balance of $ 200,000 despite recent economic uncertainty, significant inflation and rising interest rates.

“Our taxi drivers are the lifeblood that makes New York City’s heart beat. They were promised a path to a better life with these taxi medallions, but they quickly found themselves falling into a pit of financial despair. The enhanced version of the Medallion Relief Program we’re announcing will provide life-changing debt relief for more than 3,000 drivers who deserve economic justice, “said Mayor Adams.” Our taxi drivers and owners have always kept New York City on the go. , and the time has finally come to pay off with real debt relief for needy owners. We’ll probably put tens of thousands of dollars in these drivers’ pockets and show them what real relief looks like. I’m proud this administration still has been once able to “do things” for an industry that has given so much to New Yorkers. “

Rapidly changing economic conditions, including inflation and rising interest rates, have required adjustments to the original proposed agreement. Under the finalized agreement, Marblegate will restructure the outstanding loans of eligible Medallion taxi owners up to a maximum principal balance of $ 170,000, after applying for a grant of $ 30,000 to be used as a down payment on the restructured loans. The restructured loans will also be guaranteed by a reserve fund for bad debts. Borrowers with lower loan balances also qualify to participate in the program. The final terms of Marblegate’s restructured loans will include an interest rate of 7.3 percent or less, fully amortized over no more than 25 years, with monthly payments limited to $ 1,234. TLC published the regulation that will codify these terms.

Medallion owners are encouraged to sign up for free legal representation and financial advice through the Medallion Resource Center. TLC owners / drivers. Other lenders who want more information should also visit the resource center.

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