The Hungarian Parliament has just passed an important measure to help
people with a CHF / EUR based loans.According to the new bill people
with foreign currency loans such as Swiss franc or Euro can repay the
balance of their mortgage on a favaourable fixed exchange rate. The
Hungarian Parliament passed the bill with an overwhelming majority wich
will enable debtors to pay back credit at the exchange rate of 180 HUF /
1 CHF or 250 HUF / 1 EUR. Currently the HUF is 291 against the Euro,
while people need to pay 241 HUF for one Swiss franc.
According to the new bill those debtors will qualify who pay back the outstanding credit in one lump sum. According to mortgage brokers this would make a positive impact on their business because as many as 1 million people took out Swiss franc or Euro based loan. This will open up the possibility for refinancing in HUF based mortgage. Most of the debtors welcome any government initiative that help them escape from debt crisis due to the weak HUF.
