Polish banks face billions in extra losses after the European Court of Justice ruled in favour of mortgage holders who are suing the lenders for encouraging them to make a Swiss franc currency bet that went wrong.
The court said that banks were not entitled to demand that customers pay for the cost of capital on any foreign currency mortgages that had already been deemed by local judges to have contained "unfair terms".
Commentators on here should note that this is the Unfair Terms in Contracts Directive which entered law in 1995 (SI 27 1995).
The FSPO have been remarkable in avoiding this Directive in their pronouncements and who knows the FSPO might even find that the absence of fixed rates by vulture funds is an unfair term if it was pleaded with them as they skillfully avoid issues that are not raised by the hapless complainant.
Additionally the issue on reckless lending is on all fours with this. Some food for thought.
The court said that banks were not entitled to demand that customers pay for the cost of capital on any foreign currency mortgages that had already been deemed by local judges to have contained "unfair terms".
Commentators on here should note that this is the Unfair Terms in Contracts Directive which entered law in 1995 (SI 27 1995).
The FSPO have been remarkable in avoiding this Directive in their pronouncements and who knows the FSPO might even find that the absence of fixed rates by vulture funds is an unfair term if it was pleaded with them as they skillfully avoid issues that are not raised by the hapless complainant.
Additionally the issue on reckless lending is on all fours with this. Some food for thought.
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