The bank will help vulnerable families with mortgages shot up to 30%
The sharp rise in interest rates and the strong energy crisis has forced the Government and banks to speed up negotiations to protect vulnerable families from the rise in mortgages they have been suffering since the summer.
After the last meetings between the Ministry of Economy and the entities, the agreement is practically closed in the absence of the last details, according to sources of the negotiation. The main stumbling block was to redefine the term 'vulnerable' household established by the current Code of Good Banking Practices to try to accommodate a greater number of profiles that can take advantage of measures such as debt restructuring. There will not be a legal cap on the rates, as requested by the government partner, United We Can.
The plans of the sector, and that would have been well received by the Ministry of Economy, go through lengthening the terms of mortgages whose quota has shot up at least 30% in one go as a result of the escalation of the Euribor. The average for October is 2.5%, compared to -0.5% at the end of last year. Of course, only households with incomes below 24,318 euros per year, three times the IPREM in 14 payments, will be able to access this financial aid. Another of the requirements that must be met is that the amount of the monthly payment represents at least 40% of the household's net income after reviewing the rise in the Euribor.
The idea is that the measures operate for one year only for mortgages signed at a variable rate granted after January 1, 2012. From Economy they insist that the talks with the sector are still open and that a firm decision has not been made. Sources from the department led by Nadia Calviño also clarify that the agreement that is finally reached will not be regulated by a royal decree that is mandatory for the sector, but as an annex to the current Code of Good Practices. In other words, entities will be encouraged to "self-regulate" and voluntarily adopt the measures.
The Executive has not imposed a deadline to reach the final agreement, as if it happened with the protection plan for the elderly or in the recent pact reached to strengthen financial services in rural areas. For the latter, the Government gave a period of six months to the entities - extendable to another six - to install a face-to-face service in those areas where it does not currently exist. "There are many proposals on the table and we are going to analyze them so that, as soon as possible, we can have a catalog of support measures for families in this context of interest rate increases," said yesterday the economic vice president, Nadia Calvin.