By Vangelis Dourakis

It does not change – at this time – the timetable recently raised by the Ministry of National Economy and Finance to present “formula” Resolving the issue of loans in Swiss francs, which has trapped thousands of families in an excruciating cycle of burdens with unbearable interest. In the “headquarters” of Niki Street – as Minister Kyriakos Pierrakakis himself admitted – they are looking for the right one “recipe”to avoid any ‘Objections’ of the Banks Supervisory Mechanism (SSM).

In this context, the leadership of the ministry is in direct consultation with the Hellenic Bank Association of the BoG and the ECB in order to find the necessary “formula”.

What solutions have fallen on the ‘table’

Representatives of domestic banking institutions have described a plan in their contacts, which will form a new regulation on loans with Swiss franc clauses, which will distribute the loss of the loan loan into euro between banks and borrowers on the new terms of the loan.

Of course, this general principle should be clarified in its details before it is announced and that is what will be attempted in the coming weeks.

For example, it should be clarified What will be the new terms for borrowerswho, despite the huge increase in the cost of the dose, continue to pay those who have failed to serve the installments, their loan has become due and now face forced measures.

For its part, the Ministry of National Economy is clear that it wants any plan to move on three axes:

  • Firstto take into account the relevant ‘Legal reality’ As set out by court rulings on these cases, both in Greece and the rest of Europe.
  • Secondto ensure that the banking system will not be confronted with… turmoil and
  • thirdlywill be sustainable For borrowers.

When is it expected to close the issue of loans in Swiss franc

The effort made is to finally “close” the issue of loans to Swiss francs Until the end of June.

The Swiss Franks Borrowers Association, however, rejects the solution of the out -of -court mechanism, as this would transfer loans to euro in its current exchange rate with the Swiss franc, so would not solvebut it would consolidate the problem.

The Association in a statement cites two collective actions, which will be tried at the end of the year, which would weaken if some borrowers were included in the out -of -court. This is because, in this case, the loans of those who were included in the out -of -court would turn to eurolosing the right of remedies. This, although the Supreme Court has already advised that loans to Swiss francs cannot have a different treatment than all other loans, which by nature contain a percentage of danger.

The borrowers’ association is opposed to the government to legislate all loans to the equivalence of their disbursement date, that is, about 20 years earlier When the euro exchange rate was 1.5-1.6 compared to the Swiss franc.

How were those who borrowed in Swiss francs were “trapped”

But what exactly happened and were “trapped” by those who borrowed in Swiss franc? During the period of the years 2006-2008 that most entered the ‘Temptation’ To receive these types of loans, the Franco -euro exchange rate stood at 1.6, that is, with 1 euro bought 1.6 Swiss francs.

OR equivalent But in 2009 it began to fall and follow a constant downward trend, until 2011, when it stabilized by the Central Bank of Switzerland at 1.20.

However, from 15.1.2015 the exchange rate ‘Unlocked’ Re -that today it is almost 1 to 1.

So, the euro was underestimated by the Swiss franc, the more the borrower needed a monthly borrower to buy the Swiss francs of each monthly installment.

At the same time the total debt of capital of the loan, because although this decreases with the payments of the installments respectively, this amount as it corresponds to euro is increased.

For example, a loan of 150,000 Swiss francs in 2007 corresponded to 93,750 euros with the equivalence of the two coins then to 1.6. The same loan today corresponds to 150,000 euros, as the equivalence of the two coins amounts to almost 1 to 1.

This treaty resulted in the debts of those who had received loans to Swiss francs constantly increasing, while many borrowers arrived to owe 70% more than the initial capital of the loan.