PASOK’s parliamentary representative, Michalis Katrinis, presented the overall proposal of the party
At the special conference organized by PASOK with the participation of 15 agencies and organizations to present its proposal for dealing with private debt, among the speakers was the parliamentary representative of PASOK, Mr. Michalis Katrinis, pointing out that the rise in interest rates and the accuracy worsen the situation for debtors and borrowers.
Referring to PASOK’s proposal, Mr. Katrinis defined its goals, which are:
-A holistic policy to regulate private debt that will allow households and businesses to avoid financial suffocation
-The protection of really weak borrowers from the loss of the main residence
-The support of consistent borrowers, so that their loans do not turn into “red” due to punctuality and increased interest rates
-The provision of a real second chance to those who found themselves in a difficult position, due to the successive crises
– Dealing with the de-Hellenization of Greek businesses
-Assuming the responsibility of exercising policy on the issue of private debt, since with the blessings of the current government this role has been assigned to funds and management companies.
Michalis Katrinis proved with evidence that the extrajudicial mechanism settlement of debts, brought by both the SYRIZA government and the New Democracy government, failed.
He pointed out that there is no longer any first home protection while he said that in 2022 we had a decade-long auction record, with a 140% increase over 2021.
At the same time, for 2023 and 2024, an average of 60,000 auctions will be posted, which largely concern small properties that are first homes, while 250,000 property auctions will take place until 2026.
Michalis Katrinis referred to PASOK’s overall proposal that includes:
-120 installments for tax-EFKA debts, with an incentive to reduce the debt by 30% as long as the regulation is respected.
– Restoration of the protection of the main residence for weak borrowers by updating the criteria of Law 3869/10 and by court decision
– Exhaustion of the number of 240 installments in the debt arrangements and evaluation of the proposed arrangements by a bank mediator or committee of the Special Secretariat for Private Debt Management.
– Rules in the operation of the servicers and obligation to apply the code of ethics.
– Option to purchase the loan from the borrower before it is sold or transferred from the bank to a fund or resold on the secondary market.
– Rewarding consistent debtors with a brave reduction in advance tax (a measure with no fiscal impact), while for consistent borrowers, a reduction of 2-3 points in the interest rate and subsidizing the interest rate increase with revenue from the taxation of bank profits.
– Protection of agricultural real estate for farmers and breeders by profession, as the only means of survival.
– A sustainable solution for borrowers in Swiss francs based on the proposed law submitted by PASOK.
– Debt limitation for loan guarantors so that the debt does not exceed the purchase amount of the loan from the fund
“Our proposals provide a solution, they provide relief, they offer a real second chance for dignity and perspective to thousands of businesses and households who struggle every day in difficult circumstances, after successive crises. Because we believe that there is another way, a way of cohesion, solidarity and hope. And we must open this road and walk it all together”, emphasized Mr. Katrinis, closing his speech.
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