Legal defense against the multi currency mortgages
The current problem of multi-currency mortgages
This fact results in the impossibility of the mortgagor to assume the periodical mortgage payments, which is added to the fact that the amount of the credit has dramatically increased due to exchange rate fluctuations.
When the mortgagor has personally guaranteed the credit amount, as in most cases, they will have to face up to the possibility of their property being foreclosed by the institution for 60% of the assessed value, in addition to the possibility of repossession, and continuing to owe the remaining amount of the property.
Law 2/1981 of 25th March, which regulates the mortgage marker in Spain, sets out and establishes the obligation of the financial institutions to observe the strictest transparency in the granting of property loans. In the case of complex products such as multi-currency mortgages, financial institutions must ensure that the borrower has fully understood the product and its risks.
The legal defence against incorrect marketing
Navas & Cusí provides a specialized legal advice and representation service for those affected by multi-currency mortgages.
The law firm has initiated financial claims in all those cases in which it has been observed that the entities did not fulfil their duties of transparency during the process of arranging a multi-currency mortgage by endeavouring to ensure full comprehension of the high risk assumed by the mortgage holders.
Thus in cases where the financial institution has infringed Law 2/1981 of 25th March, Navas & Cusí appeals to the courts of this country for the return of the appropriate amounts, and for any necessary corrections to be made.