The Supreme Court to Declare on IRPH Mortgages

There is much optimism that they will follow the ruling of the Clausula Suelo and rule the IRPH as abusive.

Many judges in different areas of Spain have already declared the IPRH mortgages as abusive due to lack of transparency. Others have not entered into the argument of the whether or not the mortgage holder was aware of the agreement being entered in before signing the contract instead following the belief that the index could be legal as published in the state bulletin and fixed by the bank of Spain. Never-less, the lack of transparency in which the IRPH has been entered into mortgage contracts is much clearer than it ever was with the clausula suelo.

There is much to explain on how the IRPH affected the interest percentages on all those who contracted this type of mortgage. For the details on individual cases, it would be best to speak to a lawyers specialist in the field of bank products.

The Supreme Court must decide in the coming months and conclude that there is the optimism that they will follow the same line as they did with the nullity of the clausula suelo with the sentence of May 9, 2013.

Those with these mortgages can also look forward to the likelihood of not having to pay any interest for the term of the mortgage contract should the Supremo rule in favour. All those affected should be prepared to proceed possible litigation against their banks.

For information on individual cases, we have been offered the services of English speaking lawyers with expertise in this field.

Email: myra@citizensadvice.org.es

Update: 20/09/2016

Many of these cases have now been in the courts with the claimants lawyers achieving the removal of the clause and interest returned.

Please note: The information provided is based upon our understanding of current legislation. It is not legal advice but is provided freely to enable you to be properly informed. We recommend that if you are considering taking action, you should seek professional advice.