A client that sued Volksbank in order to recover the risk commission he claimed was abusive on a CHF 100,000 mortgage loan has to fully return the loan, after a judge decided the contract needs to be cancelled.
The client took out the loan in 2008, which was renegotiated three years later to lower the monthly installments through a clause agreed with the lender. The client also requested the risk commission to be eliminated.
Shortly after this decision, the client sued Volksbank to get back the sum paid for the risk commission in the initial loan contract that was considered abusive.
The court in Ramnicu Valcea ruled out the risk commission clause was abusive and that the loan contract had to be cancelled.
“As a result of this decision, the loan contract is cancelled, and the sides need to be brough to the situation prior to the contract signing. This means the debtor has to return the full amount of the loan,” said Mihai Kehaiyan, the lawyer who represented Volksbank Romania in court.
“When he sued the bank, the client probably hadn’t foreseen this as a consequence. The sentence has to be enforced”