Yes, since no more collateral for this repayment offer.
The house already auctioned off.
Imagine for loan with collateral with 30 years repayment of low interest yet debtor not able to service, bank will not risk further.
You better off sell through agent or ownself.
Once in lelong, you are at the market's mercy.

Your property title is with Bank A.
Buyer B and Bank B will need your title to be discharged and recharge d back to them.
You cant discharge a title when there's still owing balance. Worst case  the bank will use their own reserve to pay off the balance in order to proceed with process.
That's where you will get charge for interest since it uses bank own's reserve to offset your balance owe amount

Bank A.

Bank B will release loan amount based on whatever Buyer B take.
Balance between TS and Bank A, TS need to settle by themselves.
Since Bank B already done their part, Bank A need to facilitate the process in order to complete the transaction.
This is including using own reserve to payoff the balance so the title can be discharge.
However this would incur interest for TS since it's bank own money.
Thus the your hope for repayment plan aint gonna work.
It's gonna be lump sum payment TS need to pay.

TS wont able to to bargain since there's nothing to leverage anymore as the house already auctioned off.
Under risk management, no collateral means shorter period tenure and higher interest to mitigate the risk
plus with further risk of deteriorating repayment capability.

TS, the relative wish to continue to own and stay the house? If yes AKPK is one the best alternative to nego a repayment period.
However do bear in mind, once agreed, you cant miss a single payment or else it's void.

From my understanding, it seems the house is high commitment to continue stay on since dont even mind to dispose at losses.
But beware, even own selling with losses, the problem still wont go away as the differential balance still need to pay.

As ts is unlikely to sell the poorperly at or about the market price quickly; If ts is serious to dispose of the poorperly quickly and outstanding loan value is at or below market price, could consider to sell at about outstanding loan value. whatever paid to bank earlier would be losses. at least need not to pay more to the bank.