Podemos is promoting a law that will make permanent the free change of variable mortgages to a fixed rate

Can registered this Tuesday in Congress a bill to change a mortgage variable to other permanently fixed rates, the conditions of which would have to be equal to or better than those offered by entities to their new clients, and calls on the PSOE to immediately accept this initiative.

In this way, the purple ones want to go beyond what is currently foreseen in Code of good practice with financial entities promoted by the Ministry of Economy, where the abolition of all commissions for early repayment and the change of mortgage from variable to fixed rate for the entire year 2023 is determined.

With this measure, as sources from the purple formation explained to Europa Press, you want to protect households from future increases in interest rates, which went from 0% in June 2022 to 3.5% in March 2023, which implies an increase of up to 350 euros per month in mortgage repayments.

“It caused serious economic problems for millions of families, since most mortgages in our country depend on the movement of the Euribor, and at the same time it reported millions of benefits. Fell from the sky» commercial banks, say the purple party.

At the press conference after the registration of the initiative, the representative of the purple formation and representative in the Congress, Javier Sánchez Sernahe explained that the key was his account make the temporary measure permanentwith the guarantee that the various commissions arising from this type of process are “fully” borne by the entities and “nothing” by the client.

As he indicated, currently the Code of Good Practice opens the door to any subject to interpret the terms of that text as it suits him and, as an example, he stated that the study of changing mortgages from one subject to another, its cost was rejected by the new one, so now with this bill is considering having it taken over by the original bank.

With this, they also seek to promote competition among entities and accelerate changes for those clients who want to avoid future interest rate increases that may occur in the future.

Podemos’ proposal establishes a free change from a variable mortgage to a fixed one by the same entity (which would be obliged to offer the same conditions as new clients) and a free change from a variable to a fixed one by another entity (which would assume the costs of the operation).

It is also pointed out that the bank where the client had a variable mortgage would make a counter-offer in order to avoid changing to another person, and would have to take over all the costs of the operation.

According to Podemos, this is a measure “double effective”, because it reduces the economic uncertainty of the family and ensures the stability of the financial systemreducing the risk of non-payment.

In addition, Podemos calls on PSOE to act “urgently” to “prevent millions of households from seeing their economy and housing threatened” due to rising interest rates.

In this regard, the purple ones remind that in September of last year they proposed limiting the growth of variable mortgages (to 0.1%) in order to avoid economic damage to families, and they ask that their partner “do not waste any more time and pass laws now, passing this measure , protect millions of homes.

Meanwhile, Sánchez Serna explained that before registering the initiative they had informed their government partner and that they wanted to sit down with the PSOE to discuss this measure, with the aim of implementing it as soon as possible and also adding an investment partner.

On the other hand, it turned out that there is no news regarding the situation in Law on housingto insist that the PSOE urgently approves and dares to “bold” measures, such as the establishment price regulation which is the main edge that remains to be closed.