OTP Bank Romania announces the term limit prolongation for the conversion program of the Swiss Francs (CHF) loans, until April 15, 2016, following the large number of implementation requests received from its customers, said the bank in a statement.
All the 10,500 private individual clients of the bank with mortgage backed CHF loans can benefit from significant discounts of the current debts, followed by the conversion of the remaining amounts, in lei or euros, depending on each customer’s choice. Up to the present moment, over 3,800 clients of OTP Bank Romania have already received discounts of more than CHF 30 million. More than 5,000 clients (about 50% of the total) have already accepted the personalized offers, while over 10,000 clients (95% of the total clients with CHF loans) have already signed the acceptance requests of the personalized offers. Furthermore, more than 180 clients sign conversion contracts, every day.
"We are pleased to see that this initiative has generated interest in such a large extent and that we can thus strengthen a relationship based on trust with our customers. The conversion program was developed with best intentions and represents a doubtless solution, unlike any litigious alternative, which involves a long period of time until settlement and especially the risk of obtaining smaller amounts of money or even losses", declared László Diósi, CEO, OTP Bank Romania.
In defining the contractual terms, the bank’s officials took into account the feedback received from customers and representatives of specific associations. The contractual clauses clarify that, in case that the legislative initiative regarding the loans mandatory conversion will be approved by the state authorities, the bank will apply a compensation mechanism for the amounts voluntary granted as discount and those that the customer would be entitled to following the regulatory document. Thus, if the potential solution imposed by the state authorities would exceed the percentage of the discounts offered by OTP Bank through its volunteer program, the bank will bear the difference in favour of its clients. Otherwise, the contractual clauses will remain unchanged. In this manner, OTP Bank Romania assures its clients that they will benefit from the most advantageous offer for them. The contractual terms also certify that those clients who request the conversion, but do not want to drop the litigations, can still chose to convert the loans, but they will benefit from a lower discount, of only 5%.
OTP Bank Romania, a subsidiary of OTP Bank, the largest independent banking group in Central and Eastern Europe, is an integrated and self-financed financial services provider. With an approach defined by responsibility, commitment and professionalism, OTP Bank Romania understands clients’ needs and the current market context and is a trusted partner in providing financial services.
OTP Bank provides universal financial services in Hungary, Romania, Montenegro, Croatia, Bulgaria, Russia, Ukraine, Slovakia and Serbia for more than 13 million customers through an extended branch network of almost 1,500 units, ATM network and electronic channels.
