Foreign currency loans

In 2007 and 2008, numerous banks offered foreign currency mortgages to their clients, mainly in Japanese yen or Swiss francs. The banks informed customers that these products had a much lower interest rate, but did not explain that borrowers were exposed to exchange rate fluctuations. Some of the mortgages rose up to 30% of the original amount when the exchange rate increased.

 

On 30 June 2015, the Supreme Court ruled that foreign currency loans were a complex financial instrument and that therefore banks had to inform the customer about its risks, which it failed to do.