“We strongly believe that most possible abusive clauses included in consumer loan contracts were eliminated by September 21, when banks were obliged to bring loan contracts in line with the initial provisions of Ordinance 50/2010,” Ghetea said at the conference Mediafax Talks about Banking.
If not all potential abusive clauses were eliminated, a decision on whether they are abusive or not should be taken by higher courts because any incorrect court ruling may endanger banks and even the entire banking system, Ghetea warned.
“If a court decides a clause is abusive, the bank must change all contracts and compensate clients,” he added.
In June 2010, the government approved emergency Ordinance 50/2010 regarding consumer loans, based on a document drafted by the country’s consumer protection authority ANPC. The document transposes the European consumer credit directive into the local legislation.
The ordinance eliminated early repayment fees for loans with variable interests and introduced a new calculation method for interests, based on a transparent reference index plus a fixed percentage, which cannot be modified throughout the duration of the contract.
Romanian lenders requested the government amend the ordinance so that the measures would not be applied retroactively.
The ordinance was later amended in Parliament.