THROUGHOUT recent weeks Judicare has had contact with the lawyers of Alpha Bank in order to investigate the possibility of reaching a settlement with the Bank in relation to existing Loan Agreements. These settlements relate only to clients who do not have a strong case in Court or who want to keep the properties purchased.
For clients who feel that this service of restructuring their obligations under existing loan agreements in Cyprus is one they would like Judicare to offer to them, or for those clients who may have attempted to discuss their own particular situation with the bank without success and wish us to assist, the following framework has been agreed (always subject to the special characteristics of each individual case).
- A discount on the balance of the loan (mainly in relation to the amount concerning the interest).
- Formation of a new loan agreement (possibly in a different currency than the existing one).
- Extension of the repayment period hence, lower instalments and a more manageable loan.
It should be most emphatically clarified that this approach is not designed to reach or attempt to reach a “settlement figure” with the bank to rescind the original loan agreements and in no event has any impact whatsoever upon those existing clients of Judicare who are challenging through the Cyprus Courts, the validity of their loan agreements or indeed any purchasers who have a good legal case in Court in view of the circumstances surrounding their situation and who do not wish to retain the immovable properties purchased.
Neil Heaney from Judicare comments “we don’t believe there is a silver bullet or panacea which is going to remedy the situation; despite some very grandiose sounding rescue plans being circulated. What is important is each client is treated as an individual and their particular position is reviewed and their objectives are clarified. Once this is completed, decisions and solutions can be implemented through either negotiation or litigation dependent on the facts of their case. We remain at the disposal of any client wishing to explore their options in this regard”.