Financial market regulator PSZÁF has published lists of financial service providers who have and who have not signed a code of conduct for retail lending that came into force on January 1.
Thirteen banks, controlling more than 90% of Hungary's retail lending market, signed the code of conduct in the middle of September. When the code came into force, 241 financial service providers had signed the agreement, while 73 had not. Among service providers who did not sign were three credit institutions: AXA Bank Europe Hungary Branch Office, Bank of China (Hungaria) and Oberbank Hungary Branch Office. PSZÁF noted that nine financial companies had declared their intention to sign the code, but first had to take certain steps.
The code of conduct affects information banks provide to borrowers, preparations to be made before loan contracts are signed, management of problem loans, and unilateral changes to contracts and bank fees. Financial market regulator PSZÁF can fine signers who breech the code up to HUF 2 billion. (MTI-ECONEWS)