PSzÁF prohibits Magyarországi Volksbank early FX repayment request form
Hungarian financial market regulator PSzÁF on Monday said it prohibited Austrian-owned Magyarországi Volksbank from using a request form for clients to participate in an early repayment scheme until it completes an investigation.
PSzÁF said the request form could be considered an unfair trade practice.
Under the government-authored scheme, retail forex mortgages may be repaid early, in full, at a discounted exchange rate, with banks covering the cost of the difference between the market exchange rate.
The form requires clients to promise repayment of the difference between the discounted rate and the market rate if Hungary's Constitutional Court rules against the measure.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.