PM signals tighter rules on consumer loans, targets ‘fine print’ practices

Prime Minister Kyriakos Mitsotakis connected Sunday, arsenic portion of his regular weekly address, outlined caller authorities measures aimed astatine regulating banks and improving transparency successful user transactions. 

He confirmed that a draught instrumentality prepared by the Ministry of Development is ready, focusing connected protecting borrowers from abusive practices successful user loans of up to €100,000 that are issued without collateral.

The projected authorities introduces a headdress connected total repayment amounts, mounting a ceiling betwixt 30% and 50% supra the archetypal indebtedness principal, bringing Greece successful enactment with mean standards crossed European markets. 

It besides establishes a 14-day window during which borrowers tin withdraw from a indebtedness statement without penalty.

Mitsotakis described the reforms arsenic a determination to destruct hidden terms and irregular practices successful lending, stating that the measures are designed to “create a clearer and fairer model for everyone.”