Swiss Franc Mortgage - offer ?

[mevz]

Hi All,

Like many people we have been affected by the swiss franc mortgage issue.

After several months , through negotiations with our lawyers the bank ( Alpha ) are offering a discount of around 25% of the mortgage loan if we restructure ( and sign to say we will not bring any claims of misspelling etc etc ).

It would be good to hear from anyone as to whether this is fairly typical of offers others have received ( and accepted ), and whether there is a better position to be gained by going down the legal route.
If at the end of the day, to go down the legal route ( and the time, uncertainty involved with this ) would leave us in approximately the same place then it may be better to just get on with the restructuring and put the whole fiasco behind us. Pro's and Con's each way....

Would be great to hear from anyone in a similar position,

Cheers,

Mevz

[Nigel Howarth]

Hi Mevz and welcome to the forum

From others I've heard from who have renegotiated their CHF loans with the Alpha Bank, the write-off is a percentage based on various factors - when the loan was taken out, I have heard of others receiving 25% - some more, some less.

The 25% is also used as a carrot to incentivise the lender to maintain their loan repayments regularly for two years. If the borrower fails to make a loan repayment during this period, the 25% (or whatever) is added back to the loan.

The bank is also offering a write-of for early settlements, but I don't have any details.

I know of one group of 400+ people who have accepted the deals on offer - and I believe another group of a similar number has accepted, but as they have signed non-disclosure agreements with their lawyer I don't have any details.

You could go down the legal route, but your lawyer would have to convince the court that you were mis-sold the loan. None of these cases have yet reached the courts, but 144 cases were due to be heard by the end of this month, but I have no news and I expect they may have been delayed.

Regards,