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By Le Figaro with AFP

Published yesterday at 07:11, Updated yesterday at 09:26

At the end of November, BNP Paribas Personal Finance (BNPPF) was found guilty on appeal of deceptive commercial practices and concealment, for having concealed the risks of its Swiss franc loan Helvet Immo Florence Piot / stock.adobe.com

The French bank found an amicable solution with the consumer association CLCV, after being found guilty on appeal of misleading commercial practices and receiving stolen goods last November.

Time for consensus. After its conviction on appeal at the end of November in the Helvet Immo Affair, BNP Paribas found an amicable solution with the consumer association CLCV, which could cost it between 400 and 600 million euros. The consumer defense association Consumption, Housing and Living Environment (CLCV) “found, at the suggestion of BNP Paribas Personal Finance, an amicable solution for customers (around 4,400) who had subscribed to the Helvet Immo real estate loan contract“, she declared in a press release sent to AFP on Monday and confirming information from the Parisian.

Marketed during 2008 and 2009, this loan intended for tax-free rental investment had the particularity of being denominated in Swiss francs but repayable in euros. In the wake of the financial crisis, the euro fell sharply against the Swiss currency: the amounts to be repaid soared and contracts became financial pits. The case was the subject of criminal proceedings to which CLCV was a civil party since 2015.

At the end of November, BNP Paribas Personal Finance (BNPPF), known through its Cetelem brand, was found guilty on appeal of deceptive commercial practices and concealment, for having concealed the risks of its Helvet Immo Swiss franc loan, and ordered to pay considerable damages and interest, which amounts to tens of millions of euros. In parallel with this criminal aspect, the CLCV had also initiated an action to cease unfair clauses during the year 2017 relating in particular to indexation to the Swiss franc, as well as a group action from 2016. “Under the terms of the agreement concluded, BNP Paribas Personal Finance undertakes to offer a solution in the coming months to all borrowers», According to the press release from the consumer association.

Read alsoThe BNP Paribas bank should achieve its climate objectives four years in advance

According to a source close to the matter, the agreement provides for the cancellation of the loan contract (for a unit amount generally ranging from 120,000 to 150,000 euros). Which could lead BNP Paribas to pay between 400 and 600 million euros, according to this source’s estimate. The CLCV association “expresses its satisfaction at reaching an amicable outcome, in the interest of the consumers concerned and without having to wait for final decisions to be rendered in the actions it had initiated, in particular the group action».

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2024-01-03 01:45:26
#Toxic #loan #business #BNP #Paribas #pay #million #euros

It’s time to reach a consensus. Following his conviction on appeal at the end of November in the Helvet Immo case, BNP Paribas found an amicable solution with the CLCV consumer association, which could cost between 400 and 600 million euros. The consumer protection association Consumption, Housing and Environment (CLCV) “found, at the proposal of BNP Paribas Personal Finance, a friendly solution for clients (around 4,400) who had signed the Helvet Immo real estate loan contract,” it declared. in A press release sent to AFP on Monday confirming the information from Le Parisien.

Marketed during 2008 and 2009, this loan for tax-free rental investments had the particularity of being denominated in Swiss francs but repayable in euros. As a result of the financial crisis, the euro fell sharply against the Swiss currency: the amounts to be returned skyrocketed and the contracts became financial pits. The case was the subject of a criminal process in which CLCV was a civil party since 2015.

At the end of November, BNP Paribas Personal Finance (BNPPF), known by its brand Cetelem, was found guilty on appeal of deceptive commercial practices and concealment for having concealed the risks of its Swiss franc loan to Helvet Immo, and was sentenced to pay large sums of damages and interest, amounting to tens of millions of euros. In parallel with this criminal aspect, the CLCV had also initiated an action in 2017 to put an end to the abusive clauses related, in particular, to the indexation to the Swiss franc, as well as a collective action from 2016. “According to the terms of the agreement celebrated, BNP Paribas Personal Finance is committed to offering a solution in the coming months to all borrowers,” according to the consumer association’s statement.

Read alsoBNP Paribas bank should achieve its climate goals four years in advance

According to a source close to the matter, the agreement provides for the termination of the loan contract (for a unit amount that generally ranges between 120,000 and 150,000 euros). Which could lead BNP Paribas to pay between 400 and 600 million euros, according to this source’s estimate. The CLCV association “expresses its satisfaction at having reached an amicable result, in the interest of the affected consumers and without having to wait for definitive decisions to be adopted in the actions it had initiated, in particular the collective action.”

2024-01-02 07:45:56
#Toxic #loan #business #BNP #Paribas #pay #million #euros #News