Law restricts, but does not prohibit, passing on transactions duty
Hungarian law restricts, but does not prohibit, lenders from making unilateral changes to contracts that are unfavourable to clients, financial market regulator PSZÁF said on Tuesday.
PSZÁF issued the statement in response to a number of inquiries regarding the possibility that banks will pass on the cost of a financial transactions duty to clients next year. PSZÁF said lenders may make unilateral changes to contracts that are unfavourable to clients only if the changes are based on formulas stated in the contract for calculating fees and costs, and if no new fees or costs are introduced. In addition to these legal restrictions, competition will also limit the degree to which lenders pass on the cost of the financial transactions duty, PSZÁF added. If Parliament approves amendments to legislation on the duty, most financial transactions will be taxed at a rate of 0.2% from 2013.
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.