THE DANGEROUS CLAUSES OF THE
MORTGAGE LOANS
Last June 16 marked two years since the entry into force of Law 5/2019, of March 15, regulating real estate credit contracts, which introduced measures to ensure the correct information of the consumer requesting 'a mortgage loan, thus making it impossible for the bank to include abusive contractual clauses, such as the infamous already famous floor or multicurrency clauses.
As a guarantee of this information, the Law confers on the notary the role of informing and explaining to the applicant of the mortgage the content of the loan agreement, establishing for this the inalienable obligation to meet both parties in advance. to his signature, with a minimum advance (in Catalonia) of fifteen days.
The College of Notaries of Catalonia makes a very positive assessment of the application of the rule, considering it very difficult to include abusive clauses to the detriment of the consumer. However, consumers are advised to remain vigilant in the widespread practice of banking institutions to include clauses that subsidize the interest rate on the loan for the parallel subscription of other banking products such as home insurance or life, use of credit cards, pension plans, etc. which condition what is the final interest rate to be paid.
Think that, as a rule, a mortgage loan will affect a significant part of the family income for a very long period of time. Some clauses suggested by the financial institution may in fact entail a high economic cost in the event of a change in circumstances. Therefore, before arranging a mortgage loan, it is highly recommended to make a pre-emptive consultation with a specialist lawyer. A simple consultation that can save much higher costs in the future.