Bankia, CaixaBank, Ibercaja, Unicaja, Kutxabank and the BMN group have also joined the Code of Good Practices to stop the evictions of families at risk of social exclusion and the rest of the savings banks are expected to do the same.
The six large boxes that make up the executive of the CECA have been adhered to the Code. As reported by the Spanish Confederation of Savings Banks (CECA), this Thursday the six large boxes that make up the executive of the CECA have joined the code, but “it is expected” that the rest of the associates announce that they will be added in the coming days.
CatalunyaCaixa and Novagalicia, both in the hands of the State, already announced on Thursday their intention to comply with the code of good practices, as well as Banco Santander, Sabadell, Bankinter, Cajamar and the rural group CRM .
The ECSC explains that the adherence of the savings banks to good practices is based on the fact that they fight against social and financial exclusion , one of the objectives with which these entities were founded.
In fact, the Confederation recalls that the entities that make up its executive had already arbitrated specific solutions for those clients with mortgages that are in situations of extreme vulnerability , such as refinancing, grace periods, voluntary payments or purchase of housing for subsequent rental to the debtor, among others.
The CECA highlights that the accession of Bankia, CaixaBank, Ibercaja, Unicaja, Kutxabank and the BMN group has “special relevance” since The savings banks are specialized in financing businesses and families and have favored access to housing owned by all layers of the population.
In fact, the market share of the boxes amounts to 55% in mortgage loans and in the case of protected housing, the share rises to 69%.
Code of Good Practices
The Code of Good Practices is included in the royal decree-law of urgent measures for the protection of mortgage debtors without resources published in the Official State Gazette on Saturday, March 10.
It is expected that at the beginning of April the list of the entities that have accepted the text will be known. The norm established the voluntary adhesion of the financial entities to said code, during a period of at least two years.
It is expected that at the beginning of April the list of entities that have accepted the text will be known and that, as the Government has publicly acknowledged, it expects them to be many despite the reluctance initially received from the financial sector.
The families that are in extreme situation , that is to say with all their unemployed members and with little income that dedicate at least 60% to the mortgage payment, will be able to refinance the loan with which they acquired their only house, which will not be able to worth more than 200,000 euros in large cities or more than 120,000 in smaller centers.
With the refinancing, the families will obtain four years in which they will only pay interest, they can extend the term of their mortgage up to a maximum of 40 years and they will pay an interest of Euribor plus 0.25 points.
If after these measures the fee payable is still carrying 60% of the income that the family has, the client could ask his bank to study if it applies a withdrawal of part of the outstanding capital .
If you do not receive the approval of the entity or even obtaining it, the family is unable to pay your fee, you can deliver the home to the bank and settle your debt with it, having the option of staying in the rental property for at least two years.