Source: https://aktien-portal.at/
Following a complaint by the Chamber of Labor, the Supreme Court (OGH) has declared the processing fees of 1.5 percent charged by BAWAG $BG (-8,91 %) for processing fees of 1.5 percent on consumer loans. According to the Consumer Protection Association (VSV), the bank must now pay back the collected fees, while the banking representatives of the Austrian Federal Economic Chamber (WKÖ) take a different view. BAWAG still wants to examine the concrete effects of the ruling, the bank said in response to an APA inquiry.
The clause is grossly disadvantageous, the Supreme Court stated in its decision. The court sees problems with the way the fees are calculated depending on the amount of the loan, but credit processing fees are not fundamentally inadmissible. However, it is not comprehensible why, for example, the granting of a mortgage loan of 440,000 euros should cause more expense than a loan of 220,000 euros, writes the Court.
BAWAG $BG (-8,91 %) G examines the effects of the ruling
"BAWAG $BG (-8,91 %) takes note of the Supreme Court's decision and is examining the concrete effects of the ruling," the bank said. It has been given a period of six months to do so.
The Federal Banking and Insurance Division of the Austrian Federal Economic Chamber (WKÖ) emphasized in a press release on Monday that the proceedings were "abstract association proceedings" in which abstract clauses were assessed, but no statement was made on the legal consequences in individual cases, according to a press release on Monday. The Supreme Court ruling therefore "does not automatically trigger repayment", said Franz Rudorfer, Managing Director of the division. This would require a case-by-case assessment.
VSV also wants to bring an action for an injunction
The consumer protectors take a different view. According to VSV, the bank must now pay back the fees. "The banks have made exorbitant excess profits, so it is only right and proper that unjustly obtained fees are paid back to customers quickly and without complications," said Daniela Holzinger-Vogtenhuber from VSV according to the press release. The Chamber of Labor (AK), which had filed a lawsuit against BAWAG and Santander Consumer Bank, now also wants to look for a solution so that affected customers "can get back their wrongly paid credit processing fees in a simple and uncomplicated manner," it said in a press release.
For VSV, the Supreme Court ruling alone is not enough. In the coming days, VSV intends to file an injunction - initially against BAWAG and later against all other major banks. This should ensure that consumers' claims for repayment do not become time-barred. The VSV is also planning remedial action should BAWAG $BG (-8,91 %) refuses to make repayments.
