HomeNewsMasvingo plans to scrap off interest charges on overdue accounts

Masvingo plans to scrap off interest charges on overdue accounts

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MASVINGO City Council has tabled plans to scrap off interest charges on residents’ overdue accounts as part of measures to incentivise defaulters to pay up.

By Tatenda Chitagu

Mayor Hubert Fidze announced the move at a stakeholders’ symposium at the weekend that the scrapping of interest charges was meant to cushion residents struggling to pay off their debts.

“Our finance committee resolved to scrap interest and the proposal has been forwarded to the full council meeting. We are meeting as council to adopt the motion, but I am sure there will not be any objections. I am not against the idea, but we just need to formalise the move at our next full council meeting soon,” he said.

Fidze, however, said the moratorium will only benefit debtors who settle their bills in once-off payments.

“If you fully settle your bill, we will not charge you interest,” he said, urging indebted ratepayers to approach council offices to negotiate payment plans.

Masvingo Residents and Ratepayers Alliance (MURRA) spokesperson, Godfrey Mtimba, yesterday welcomed the move, saying it provided a much needed breather for the hard-pressed residents.

“That is a step in the right direction. People are struggling to make ends meet given the economic meltdown prevailing in the country and council also has to be considerate to the plight of its residents,” he said.

The local authority is owed $23 million by defaulters, who include government departments such as the army and police.

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