Relief for thousands of borrowers with Swiss franc loans

Dodecanese MP Manos Konsolas welcomed the government’s intention to introduce a legislative regulation benefiting borrowers with Swiss franc loans, describing it as substantial relief for thousands of citizens. He recalled that he had raised the issue in Parliament last June, proposing the inclusion of non-performing Swiss franc loans in the Out-of-Court Debt Settlement Mechanism and the conversion of such loans into euros with a reduction of the outstanding debt.
The planned regulation provides for the conversion of performing loans into euros with a 15% to 50% reduction in the exchange rate burden, a fixed interest rate for the entire repayment period, and the option to extend the loan term. Borrowers with non-performing loans will be able to enter the Out-of-Court Settlement Mechanism, with banks and funds obliged to accept the restructuring based on the borrower’s financial capacity. The initiative aims to address the impact of the Swiss franc’s appreciation against the euro, which pushed thousands of borrowers into financial distress.