Today again we would like to talk about a new judgment ruled in favour of a client we represent, in which the Court of First Instance Number 3 in Denia, has been charged for:
- Anullment of a clause in the mortgage loan deed drafted by the bank, in which the stated delay interest was 18%, to be charged in the event of a late payment. Thus, according to our request, the court not only has been declared unfair and void this clause, but also asked the bank to pay back to our clients the money charged for the delay interests at 18%, when our client was in financial difficulties and was not able to cope promptly with his obligations to the bank.
- Likewise the court has declared void the clauses relative to the termination of the contract, for which the bank reserved for itself the right to terminate the contract and claim for the entire outstanding capital, in the event of the client delay any payment, or breach of any of the obligations contained in the deed of mortgage. Thus, as the Supreme Court has already stated in its judgment of 23 December 2015, such clauses are abusive because they are not proportional, because, for a minimum and not relevant breach, the bank is allowed to terminate the contract.
- Also the court has declared void the Mortgage Floor Suelo Clause stated on the mortgage deed, condemning the bank, as requested to:
. – Return the overcharged interest by the action of this clause from the date of signing the contract, plus legal interests.
. – Recalculate the loan amortization table, which should means that the outstanding capital to be paid to the bank will be reduced.
We should note that the bank has already paid € 29,500 in the courts account to meet part of their responsibilities with our client.
Therefore, if you have a mortgage with a Mortgage Floor Suelo Clause (limitation of the interest,) even if your bank tells you that it will not apply again or offers you a deal, you must know that you can claim with the possibility of success (if the bank did not explain the details of this clause), for the clause to be declared null and void, but also to be paid back the overpaid interest plus interest, and the recalculation of the amortization table, which will mean that the outstanding principal will also be lower. It is also possible that once we review your mortgage deed, we find other clauses which are also could damage your rights.
Make sure that you claim correctly. We are experts. Contact us and we’ll help.
The information provided in this article is not intended to be legal advice, but merely conveys information related to legal issues.
Carlos Baos (Lawyer)
Spanish Law firm solicitor attorney barrister.
Alicante, Denia, Costa Blanca Marina Alta
White & Baos 2016 – All rights reserved