The article was a bit light in details, but here is my educated guess depending of the details: 1. (most likely) The interest is still paid, but the outstandin

The article was a bit light in details, but here is my educated guess depending of the details: 1. (most likely) The interest is still paid, but the outstanding notional payments are deferred. This causes no actual losses to banks, but may cause liquidity issues. VCentral bank can sort those easily. 2. (A bit less likely) Even interest rates are deferred, but they are capitalized to the loan so that your loan amount increases if you do not pay the interest. As above, no losses to the bank, but maybe liquidity issues. 3. (Least likely) Banks actually waive the payments. In this scenario it is primarily the shareholders that take the loss, but I would strongly expect that in this scenario government covers the losses of the bank.