Moratoria Legal Banco Sabadell

Moratoria Legal Banco Sabadell

This was expressed on Tuesday by four of the country`s five largest banks at a financial meeting, recalling that Euribor, the benchmark index for mortgages in Spain, closed the month of September at 2.2%, marking a significant increase of -0.5% at the beginning of the year. The institution that granted the most moratoriums was Banco Santander, which is reflected in its size and geographical diversification. The Group has granted moratoriums amounting to €112,000 million, of which 92% are already due and 5% are in default. Of the remaining €8,700 million in carry-overs, the majority (€8,000 million) is attributable to Europe and the rest to the United States. BBVA, also present internationally, has deferred loans amounting to €25,400 million, of which 89% have already matured (€2,794 million remain alive) and 0.6% are in phase 3. CaixaBank, for its part, is already waiving more than 65% of the moratoriums, with 19,300 million euros in deferred loans (including those of the former Bankia). Of this amount, 0.5% of the loan portfolio defaulted, which would amount to around €1,800 million. The executive is therefore examining the Bank`s proposals and whether further measures are needed. At the same time, both sides are trying to define what is considered vulnerable.

Employers made a proposal last Tuesday, but the government wants to broaden the criteria so that more customers in need can benefit. For her part, the Minister of Labour, Yolanda Díaz, once again spoke out against the extension of the duration of mortgages offered by banks and supported the quota freeze proposed by CaixaBank, although she understood this to a greater extent than what is proposed by this body. The sector`s meetings with the government follow one another and after Tuesday, there was another one on Friday, as Calviño himself revealed. Funding sources say the possible moratorium on the vulnerable unemployed was not discussed at this meeting, which does not mean it could be considered. “I welcome the many initiatives that are being launched and the proposals that are being considered, and I hope that we will reach as soon as possible a set of measures that can really ease the pockets of Spanish families; We are looking at various alternatives,” the vice president said. An opinion shared by the CEO of Banc Sabadell. Although César González-Bueno went even further, stating that “the concern of the bank is at the center of the variable rate mortgages granted in the last five years”, because they have not yet paid much capital. Credit moratoriums are beginning to become part of the narrative of what was a pandemic and moving away from the present. However, the imprint they left on companies` financial statements remains. At the worst moments of the crisis, the country`s main groups postponed loans totalling more than €166,600 million, of which today, a year and a half after the start of the implementation of this aid measure, only 12.5% are still in force. In other words, 87.5% of the moratoriums have already expired.

But in his bank, he explained, much of the mortgage portfolio is old and 50% have a fixed interest rate because they have prioritized these hires in recent years (last year, 90% were signed at a fixed rate), so they believe the impact on customers will be minimal. Nevertheless, Caixabank will focus on finding solutions such as those discovered by the rest of the banks to avoid an increase in defaults and defaults. The CEO of the Catalan company believes that the financial sector must solve a part of the population whose mortgage share has increased unexpectedly. A situation that even the banks themselves would not have foreseen just a few months ago. The bank rules out capping mortgages, as proposed by the UGT union and Unidas Podemos, although it acknowledges that many families will face financial difficulties managing the payment of installments before interest rates rise. The solution, they say, is to study on a case-by-case basis and, for example, to offer moratoriums. Well, the first to worry about customers not stopping paying are the companies themselves. The financial sector rejects the proposal by Unidas Podemos, the formation of the coalition government, to cap variable mortgages for the most vulnerable families affected by the rise of Euribor. The Bank asks the executive not to direct the measures to be implemented and stresses that the most natural solution is to apply moratoriums to this affected segment, always with a case-by-case analysis.

The collection of commissions on services to people affected by the Covid-19 health crisis will be restored, and a moratorium of up to 12 months will be set on mortgages to pay only interest to those affected by the pandemic. They will also be able to relax the disbursement of consumer loans for six months. Today, the bank still faces €21 trillion in deferred loans between mortgages and consumer loans, although most of these moratoriums will expire between the third and fourth quarters of this year, leaving a residual volume of deferred loans for next year. These people should be careful, and I mean politicians who cannot read or write and forget that the deficit they systematically hold comes from bank loans. If they turn off the tap, it`s over. The offering of combination or separate products will affect the cost and early termination of the loan or its combined products. I) Cost The cost of purchasing Home Protection, Constant Capital Life and Payment Protection insurance is independent of the loan underwriting, so it has the same cost as if it were purchased individually.