The Code of Ethics applies to the following:
- It concerns ONLY debt arrears
- Debts which have not been terminated are NOT covered
- It applies both to private and commercial debt
- It does not concern borrowers who have been characterized as non-cooperative
If anyone is interested to join the Code, is now required to provide the necessary information requested by the banks to prevent being classified as ' non-cooperative borrower". If someone is classified as "non-cooperative", then the bank may start legal procedures, i.e. payment order, auction scheme etc.
The integration process for Code of Ethics is as follows:
Stage 1 - The bank contacts the borrower
Stage 2 - The borrower submits the supporting documents
Stage 3 - The bank evaluates the financial data
Stage 4 - The bank offers proposals for debt restructuring
Stage 5 - The borrower makes an objection
The loan is already in delay for 30 days since 1/1/2015
- The bank sends a note within 6 months
- The borrower has a 15 day time to join Stage 2
- If he accepts to join, then he must submit the necessary supporting documents
The loan is delayed after 1/1/2015
- At first it is offered consultation and a brochure
- After 30 days of delay the bank sends a note within 15 days
- If the borrower accepts he joins stage number 2 and submits the necessary supporting documents
The Borrower should submit, within 15 working days after receiving the letter:
- The "Standardized Statement of Financial Reporting"
- Additional documents requested by the bank. These documents are received by a special department / office of the bank. The borrower should know the contact details of this department/office.
Stages 3 and 4
The bank evaluates the information and document provided by the borrower and proposes one or more solutions. The bank submits its proposals through a "Standard Offer Document" within a reasonable time frame but not more than six months.
If the borrower does not agree with the proposals of the bank, he may appeal to the Appeals Committee of the Bank.
- The Committee has three months to decide whether to accept the complaint and provide the necessary approval
- If the complaint is accepted, the bank:
- Announces structural operations or revised solution.
- Commits the case to Stage 3 or Stage 4 so the delegated official of the bank re-evaluates the case and makes a new proposal.
- Each borrower may appeal only once, so he will not appeal to the Committee if not complying with the new proposal of the bank.
Failure/Denial of Compromise
- The borrower may choose not to follow the procedure indicated by the Code or after following it to not agree to the proposal of the bank.
- The borrower can try to find a solution through mediation (Hellenic Consumers' Ombudsman), or use other legal provisions (eg Law No.3869 / 10)
If you complete all the steps included that of complaint and there is no agreement, then the bank can turn against the guarantor and implement the respective steps. This happens if the contract suggests that the guarantor replaces the borrower and takes on his obligations.
How to enter the Code
If you qualify and want to enter the Code, you can submit your request to your bank. Through the process of the Code, we can provide you with advice and guidance on how to collect and complete necessary documents, as well as advice on how to adopt the adjustment proposal and submit proposals and counter proposals.