Frank mortgage debtors

Swiss franc mortgages were offered as an interesting alternative for mortgages in PLN; they were presented as more beneficial. The basic emphasis in presenting and offering a Swiss franc mortgage to its clients was placed solely on the interest rate of the loan. The attractiveness of this type of loans was also demonstrated by the loan simulations shown to potential frank mortgage debtors. They were based on the presentation of the bank's margin and the LIBOR reference rate (at that time they were at a very low level, although in the recent history they were, on occasions, significantly higher). The information about the exchange rate risk was ignored and marginalized, especially when presenting the amount of the loan principal to be repaid. The judgment issued in October 2019 by the Court of Justice of the European Union (CJEU) obliges the national courts to consider applications submitted by Swiss franc mortgage holders seeking justice. However, the judgment of the CJEU does not imply invalidating individual clauses in banking contracts and each Swiss franc mortgage holder must fight for their own right before the court. After the announcement of this game-changing decision, many people, also those who were initially no interested in being involved in a legal battle against their bank, decided to bring their case to court. Since banks do not honor court decisions on declaring indexation clauses illegal, low down payment insurance, arbitrary change in interest rate or increased interest rate after the mortgage was entered ineffective, a lawsuit should be brought against the bank for payment. Anyone who signed a contract with abusive clauses regarding indexation, low down payment insurance, bridging insurance and arbitral change in interest rates may submit a claim.