currently the threshold of default is placed in the three installments delinquent. However, the Court of Justice of the EU has already determined that the amount unpaid was to be far more important to that is you could start what in the jargon is known as the early maturity of the loan. The project that the then minister Luis de Guindos took to Congress by the end of 2017 forced to only be able to begin the implementation with a default of nine installments, or 2% of the principal of the loan during the first half of the life of the loan. And in the second half of life the non-payment was to rise to 12 monthly payments or 4% of the value of the mortgage. Now the bulk of the political formations unless We have agreed that the amounts to rise: in the first half the non-payment will be 3% of the loan or 12 installments; and in the second half of the 7% or 15 installments. However, the small print is that a non-payment of 3% on a mortgage of € 150,000 at 25 years is equivalent to about six or seven instalments and not 12. That is to say, that 3% actually will act as a stop making useless that it imposes a delay of up to twelve installments. We argued that it would lead to 10%.
MORE INFORMATION of The authority which will protect the mortgagor will be able to impose its decisions to the banking The bank can only foreclose if the customer ceases to pay between 9 and 12 fees The mortgage law will require that banking examine the creditworthiness of the customer The bank will pay all expenses of the signature of the mortgage unless the appraisal
In any case, these figures are pending from a judgment of the Court of the EU that values them. Something very different is the opinion of the banks. Industry sources warn that this standard is being of the most restrictive in Europe, and that, together with other measures already announced such as forcing the banks to pay the mortgage tax, will result in a greater difficulty to maintain the flow of credit as it worked until now.
“The important thing is to give legal security and the mortgaged know how much time can be delayed without losing your home. Although the desirable thing would have been to have an economic impact study rather than to enter on a political career to see who gets to lengthen more the term. The mortgage loan must be balanced and sustainable,” said Fernando Zunzunegui, a lawyer expert in financial matters.
default Interest cheaper
Another problem in the mortgage was the interest of delay, which before was the pactaban the parties and it was common to see up to 25%. Similar types were judged excessive by the Supreme. This Makrobet emphasized that one should not exceed the 2% surcharge on the type already hired. And the european court has confirmed. However, Guindos set at three times the official interest of the money. This is: a 9% today. Deputies have estimated that such a quantity could be excessive. Especially if the official rate went up when the ECB repuntase interest rates. So PP, PSOE and PDeCAT have changed the penalty and have left it in the type hired a surcharge of 3%. Citizens at this point have voted against because I was defending a charge of only 2% as I said the Supreme. And we Can also has been rejected.
on the other hand, the new law declares null and void all the products linked to the mortgage that does not conform to the criteria of the Bank of Spain and provided that it is proved that benefit the client mortgage. However, that leaves the door open to credit insurance, insurance of damage or to other products that serve as the support or collateral for the credit. That is to say, a bank account which will serve for the payment of the mortgage or an investment product that is at once a guarantee of the loan. Also allow the combined sales, in which they have to submit separately each product with their prices and you can replace some by others that provide the competition. In short, the customer can accept what you want in the package that puts the entity on the table.
Among other things, the text agreed prohibits the land clauses, which had already been declared abusive by the courts. And requires banks to adopt with all mortgages the code of good practice, designed so that there are viable alternatives to the eviction and that until now only applied to the loans prior to 2012.
in Addition, this legislation would require entities to re-examine the creditworthiness of the borrower before giving the loan. Although it has not yet been decided to implement a penalty for missing it, and the matter has been left in an amendment alive for further discussion. Nor has regulated the new authority that protects the customer mortgage, because there is still that elucidate its fit in the gear supervisor.
After the controversy of the tax on documented legal acts, this law clarifies the allocation of expenses of the mortgage and states that the customers will not have to pay any costs except the appraisal. As we left Guindos, lowers the early repayment of the mortgage, it is easy to change the type variable to a fixed one and does that notaries and registrars prevent the inclusion of any clause declared abusive as contained in a registration statement already created. The notary will have to explain to the mortgagor the terms of the loan and this you will have to sign in your own handwriting that understands it, including simulations of the evolution of the types in the contracts with variable interest.