On Tuesday, April 2, the Cabinet of Ministers approved the draft order on the redirection of funding for the protection of mortgage borrowers. On December 6, 2023, amendments to the Law on Protection of Consumer Rights (PTAL) on the protection fee for mortgage borrowers were adopted with the aim of compensating loan interest to mortgage borrowers for the purchase or construction of housing. This was decided to protect public welfare, given the substantial cost burden on households of rising EURIBOR rates and inflationary adult loan payments and consumer prices.
According to the calculations of the fees paid by the payers of the mortgage borrower protection fee for the first quarter of 2024, the mortgage borrower protection fee in the amount of 24,235,800 euros was paid into the revenue account of the state basic budget. Taking into account the fee contributions made for the first quarter, the increase in state budget revenues for the first half of 2024 is forecast to be 48,435,800 euros.
In accordance with the law on the state budget for 2024 and the budget framework for 2024, 2025 and 2026, funding of 48,435,800 euros is required for the first half of 2024, including 48,207,104 euros for the payment of support to borrowers and 228,696 euros to cover the administration costs of the State Revenue Service (SRS), in order to ensure the necessary changes are made in the information systems of the SRS.
The draft of the order can be viewed on the portal of draft legal acts.
Ministry of Finance
Tags: Supports diversion million euros protection mortgage borrowers Economy finance
