As Jacek Jastrzębski, the President of the Polish Financial Supervision Authority, pointed out in an interview for Business Insider, the long-term discussion on solving the problem of housing loans in Swiss francs has become unproductive and the formula of switching arguments and ever-reaching expectations, including those addressed to the public eventually ran out.
The President of the Polish Financial Supervision Authority also noted that the scale in which banks had so far formulated settlement proposals towards borrowers was insufficient in the view of the scale of the Swiss franc problem. Meanwhile, the case should however be viewed by banks in pragmatic terms, any settlement proposal offered to clients must offer a level of benefit that will make this offer a viable alternative to the court proceeding.
Due to the fact that banks cannot force borrowers to relinquish possible future claims, as Jacek Jastrzębski informed, in recent weeks, intensive work was carried out to develop a draft settlement. In this case, the key would be for the bank to inform the client about all the benefits and risks associated with concluding it, so that the client would be fully aware of the rules on which he will get rid of the currency risk and lower his loan balance, and on the other hand the client would be informed that the interest rates in Poland may increase and that the monthly installment of his loan may turn out to be higher than before.
However, the President of the Polish Financial Supervision Authority did not indicate whether the banks want to solve the problem of foreign currency loans before the expected resolutions of the Supreme Court are issued, and how they will act if these resolutions are favorable for borrowers.
Meanwhile a hearing of the Supreme Court in case III CZP 11/20 is scheduled on February 16, 2021. During the hearing it would be decided whether the theory of two predictions or the balance should be used in the settlement of borrowers with banks.
On the other hand, at the hearing scheduled on March 25, 2021, the Supreme Court is to settle the legal questions presented by the First President of the Supreme Court regarding the possibility of filling gaps in the loan agreement after invalid provisions, the possibility of performing such a contract without provisions deemed invalid, the bank’s remuneration for using the paid capital.
Interview with Jacek Jastrzębski, President of the Polish Financial Supervision Authority – https://businessinsider.com.pl/finanse/makroekonomia/wywiad-z-szefem-knf-jackiem-jastrzebskim-o-kredytach-frankowych-mam-dosc-placzu/wqkhfdt
More on legal questions of the President of the Supreme Court – http://www.sn.pl/aktualnosci/SitePages/Wydarzenia.aspx?ItemSID=725-0dc69815-3ade-42fa-bbb8-549c3c6969c5&ListName=Wydarzenia
