The Financial Conduct Authority have proposed that there should be no interest charged on credit cards or loans if someone is affected by the coronavirus crisis.
Under the new proposals banks would also have to give people a £500 interest-free buffer on their overdraft.
Banks have also been told that they are not allowed to increase anyone's overdraft costs during the pandemic - reports Mirror Online.
The measures are designed to provide a short-term stop-gap, for a period of up to three months, to give people who until now have been financially stable some much-needed financial support.
Banks have until Monday, April 6, to respond to the city regulator before it makes them official.
FCA interim chief executive Christopher Woolard said: "Coronavirus has caused an unprecedented financial shock with far-reaching consequences for consumers in every corner of the UK.
"If confirmed, this package of measures we are proposing today will help provide affected consumers with the temporary financial support they need to help them weather the storm during this challenging time."
There have been 2,352 people killed by the virus in the UK, with almost 30,000 people confirmed to have Covid-19.
