OTP Bank Romania has announced that it will be extending the deadline for its conversion program for loans in Swiss Francs (CHF) until April 15, 2016, following a large number of implementation requests received from its clients, according to a bank press release.
The bank’s 10,500 private individual clients who have mortgage backed CHF loans can benefit from discounts on their current debts followed by the conversion of the remaining amount to either EUR or RON, depending on the client’s choice.
Up until now, 3,800 OTP Bank Romania clients have received reductions of around CHF 30 million (in total), while approximately 50 percent of the total number of clients in question (around 5,000) have have signed the acceptance requests for the personalized conversion offers. Moreover, 1,000 clients are waiting to be scheduled for implementing the conversion, while 180 other clients are signing new conversion contracts daily, adds the press release.
The conversion program represents “a sure solution, unlike any litigious alternative, which would involve a long waiting period until settlement and, especially, the risk of obtaining smaller amounts of money or even of registering losses,” said Laszlo Diosi, CEO OTP Bank Romania.
In terms of what would happen if the Romanian state were to impose a solution that would exceed the percentage of discounts offered by OTP Bank, “the bank will bear the difference in favour of its clients,” says the press release.
OTP Bank Romania is a subsidiary of OTP Bank, an integrated and self-financed financial services provider. OTP Bank provides universal financial services in Hungary, Romania, Montenegro, Croatia, Bulgaria, Russia, Ukraine, Slovakia and Servia for around 13 million clients.