Croatian Supreme Court rules variable interest rate in Swiss franc illegal
Swiss franc
Zagreb - XINHUA
Croatian Supreme Court ruled the variable interest rate on those loans in Swiss franc was unlawful while the currency clause was lawful.
The Supreme Court upheld Croatian High Commercial Court ruling in July 2014, proclaiming citizens now have to file civil complaints concerning the question of interest rates, according to the judgement published in its official website on Thursday.
Supreme Court supported the earlier judgment ruling currency clause in CHF was legal.
Some 100,000 Croatian citizens have taken loans in CHF, around 75,000 of them are housing loans.
Due to changes in CHF's exchange rate and variable interest rates, monthly payments for debtors have increased between 35 and 100 percent.
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