The European Court has ruled that there are no time limits on a bank´s liability to repay monies under the Ley De Suelo, which was previously ruled as “an abusive clause”.
Previously banks claimed repayments would only date back to the date of the original judgement on the “”Ley de Suelo”.
The European Court has dismissed this claim and rules that banks must repay ALL monies paid under the clause, that is from the signing of the mortgage agreement.
Even if clients have already received payments they can now reclaim monies outstanding ie.from the date of the original judgment to the date they signed the mortgage agreement.
There is no requirement that clients have claimed before. Any client affected by the clause can claim monies backdate to the date of contract.
The “Ley de Suelo” was used by some banks to impose a limit below which interest rates on a mortgage could not fall.
This clause was ruled as abusive by the European Court, however, some banks have only refunded monies paid under the clause backdated to the original judgement. This new ruling makes clear ALL monies paid under the clause must be repaid to the client.
