When should borrowers must wait for help?

28 Mar

The Good Finance must once again adopt a law on the conversion of loans, by including or rejecting an absolute majority of the Senate’s amendments.

We still do not know what final shape it will take. the franc bill and whether it will come into force at all. Since the Senate has amended it, the Act on special rules for the restructuring of foreign currency housing loans due to a change in the exchange rate of foreign currency to the Polish currency will be returned to the Good Finance and must be adopted again.

However, if even the lower house of the Polish parliament manages to pass the bill before the election, the last word will belong to the president.

The final shape of the bill


As announced by Sean Cole, regardless of the final shape of the bill will be signed by the president, Law and Justice will appeal to the president to read the judgment of the Court of Justice of the European Union in Luxembourg, before the signature, regarding the complaint of the Hungarian government regarding loan agreements denominated in Swiss francs.

The verdict in the above case is to be issued on September 17. If the Tribunal recognizes – as PiS expects – that a currency-denominated contract is not a “pure” loan agreement, but is a financial instrument, then in the light of the law in force in the entire EU, and thus also in Poland, such loan agreements will be invalid.

Good Finance believes that the entry into force of the provisions of the Franc Act, irrespective of the final shape it may take, would make it difficult for franc borrowers to benefit from the judgment of the Court in Luxembourg, provided that, of course, his judgment is in their mind.

Pure” loan agreement


We are waiting for the results of the vote. The president will analyze the provisions of the act and then make a decision. For now, it is too early for specifics – Good Finance, director of the press office of the President of the Republic of Poland told the Polska Press Information Agency.

The Senate welcomed the resolution on submitting several amendments to the Act. The most important of them stipulates that the bank is to write off half of the amount of the housing loan liability after currency conversion (the act originally adopted by the Good Finance charges banks 9/10 of this amount).

Deadline for submitting the conversion request


The second important change concerns the deadline for submitting the conversion request. Immediately after the bill is passed, they are to be submitted by persons whose credit exceeds the value of the property by at least 120 percent. In other cases (80-120 percent of the value) – one or two years after the provisions came into force.