ADICAE, Association of Banks, Savings Banks and Insurances Users.
This week, the media in Spain is echoing the progress made on the collective lawsuit against banks abuse by applying the land clause. The lawsuit is led by ADICAE, Association of Banks, Savings Banks and Insurances Users.
Latest updates by ADICAE refer to the addition of 8 savings banks and banks to the 45 institutions they are filing a lawsuit against. ADICAE has also declared its intention to widen the lawsuit to include each banking institution in Spain.
Spanish Mortgage Law
This month, the 150th anniversary of the 1861 Spanish Mortgage Law was celebrated. This law established the position of the registrar in Spain.
The event that took place in the headquarters of the Land Registry was led by H.M. the King Juan Carlos of Spain. The mercantile and land registrars also attended the celebration.
The amount of foreclosures could be lower in Spain
Studies by the Observatorio de la Financiación Familiar -Spain’s Family Finance Watch- have concluded that 30% of the foreclosures in Spain could have been avoided, had the affected owners engaged in a debt consolidation package. Actually, it shows that 71% of the people with mortgages would have accepted an increase on the credited amount and on the payment period on return for monthly payments of 30% less.
The range of financial products offered by banks and similar institutions grows wider every day. That is why we have set ourselves to explain them, one per week.
Today, we will talk about the reverse mortgage, which will allow us to complement a retirement plan with the value of your property. The requisites to enter into a reverse mortgage are: owning a house free of charges and encumbrances (or with only a small outstanding amount to pay) and being over 65.
the Euribor trend has changed from August 2010
The Euribor rate –main Spanish mortgages reference index- closes October 1,495%. This is a slight increase compared to the rate in September 2010, which was 1.420%. This information has been issued by Banco de Espana, the National Spanish Bank.
While mortgages recalculated with Euribor rates from January to July 2010 saw their monthly instalments reduced, mortgages revised with Euribor rates from August to October will see their monthly payments increased.
Mortgage approval rates change again
The Spanish National Statistics Institute –INE– reports that the interannual rate of approved mortgages registered a decrease of 6.8% in July 2010, totalling 55,570 deals closed.
The INE also points out that the amount of mortgaged properties increased in 0.8% in July compared to June. This, however, contrasts with a 1.1% decline from May to June. This data coincides with the increase on real estate commercialisation, even with the new VAT, that changed from 7% to 8% in the case of new properties.