The boards of directors of CaixaBank and Banc Sabadell approved yesterday to adhere to the code of good practices for mortgage debtors at risk of vulnerability and thus become the first financial institutions to join this initiative. Both banks adhere to the extension of the current code of good practices and also to the new one, which will have a transitional regime of two years, as approved this week by the Council of Ministers.
CaixaBank stressed that it has been "the most active entity in granting aid under the code of good practices and has carried out 35% of the operations in the sector as a whole" related to the code of good practices in force since 2012. That It is the previous one that is now renewed and expanded.
The Government approved last Tuesday at its weekly meeting a package of measures to alleviate the mortgage burden on more than a million vulnerable households or at risk of vulnerability due to the increase in the Euribor.
The measures contemplated in the extension of the current code are to apply grace periods of five years in the principal of the mortgage and a reduction in the applicable interest rate up to Euribor minus 0.1% when the increase in the mortgage effort is greater than 50%; as well as a grace period of two years and an extension of the term of up to seven years if this increase is less than 50%.