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Another step towards normalising the lending market. Victory for the Financial Ombudsman

11 January 2022

A few months ago, the Financial Ombudsman informed about joining the case of a client who lost the proceedings in the first instance with Profi Credit Polska and, as a result of the court ruling, had to repay more than 2.5 times the value of the loan. The District Court in Częstochowa, as the court of second instance, in proceedings with the participation of the Financial Ombudsman, changed the decision of the court of first instance, reducing the debt of the defendant client by almost PLN 7 thousand. According to representatives of the Financial Ombudsman, the court ruling is an important step towards normalisation of the lending market.

The client, who was sued by the lender, entered into a loan agreement under which she received PLN 6,000 ‘in hand’. The client repaid PLN 3,990 to the loan institution, stopping further repayments due to financial problems caused by a difficult life situation. The agreement was terminated by the company, which took the matter to court with regard to the demand for payment. The court of first instance recognised that Profi Credit Polska S.A. was right and awarded the amount of PLN 9,972.63 together with interest and legal costs. This meant that the client was obliged to repay a total of almost PLN 14,000 of the principal amount alone (the principal of the loan and the costs of the loan), to which interest rising every day had to be added, as well as litigation costs amounting to over PLN 2,000.

The client disagreed with the decision made at first instance and appealed. At the same time, she requested the Financial Ombudsman to join the case and assist in the ongoing proceedings.

The District Court in Częstochowa, as the court of second instance, in proceedings with the participation of the Financial Ombudsman, changed the decision of the District Court in Myszków. As a result of the changed decision, the client is required to repay to the loan institution only PLN 3,153.63 plus statutory interest. This means that the debt was reduced by PLN 6,837. Moreover, the company is obliged to reimburse the client for the legal costs of both instances.

Such a settlement was also made possible by the active participation of the Financial Ombudsman.

“We have broadened the spectrum of legal arguments and pointed out that the provisions relating to the costs of the loan are abusive in many respects. We relied here on the broad case-law of the Court of Justice of the European Union, which has repeatedly stated that even if the costs of a loan are within the statutory limit, this does not mean that provisions determining their amount may not be prohibited,” explains Paulina Tronowska, legal adviser at the Financial Ombudsman’s Office.

According to the Financial Ombudsman’s experts, the above judgement also gives hope to other clients who have entered into credit or loan agreements involving high commissions, preparation fees or other costs which in no way correspond to the amount of financing granted, to win against the loan institution or other creditor.

The Financial Ombudsman provides support to clients of financial market operators at various stages of a dispute with a creditor. The Financial Ombudsman’s experts provide advice, intervene and conduct conciliation proceedings. In the event of a court dispute, the Financial Ombudsman may provide a so-called important view for the case and, in particularly justified cases, may bring an action on behalf of the client or join ongoing proceedings.

Details are available on the Financial Ombudsman’s website.


The Financial Ombudsman’s website in Ukrainian
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