Fresh rules pro­posed for mort­gages

Kathimerini English - - Focus - DIMITRA MANIFAVA

The Fi­nance Min­istry will take steps to avert the cre­ation of mort­gage loan and house­hold debt bub­bles in the fu­ture. Ac­cord­ing to a bill it has pre­pared that in­cor­po­rates a 2014 Eu­ro­pean Di­rec­tive into Greek leg­is­la­tion, the min­istry is set­ting rules for the proper and timely in­for­ma­tion of con­sumers who in­tend to take out a hous­ing loan.

The same bill will aim to avoid com­pli­ca­tions such as those cre­ated for bor­row­ers who had taken out loans in Swiss francs.

Among the pro­vi­sions of this draft law is that mort­gage loan ad­ver­tis­ing should in­clude rep­re­sen­ta­tive ex­am­ples of the in­ter­est rate and all charges the loan is­sue would en­tail.

In case there are un­paid dues af­ter the liq­ui­da­tion of phys­i­cal col­lat­eral, it also pro­vides that the re­pay­ment will be made tak­ing into ac­count con­sumers’ rea­son­able liv­ing ex­pen­di­ture as well as any other as­sets they may own.

Mean­while, the Eu­ro­pean Com­mis­sion sent a rea­soned opin­ion (which is one step be­fore re­fer­ral to the Eu­ro­pean Court of Jus­tice) to Greece and eight other mem­ber-states on Thurs­day as they should have in­cor­po­rated the above di­rec­tive into na­tional leg­is­la­tion be­fore March 21, 2016.

Newspapers in English

Newspapers from Greece

© PressReader. All rights reserved.