This Thursday, December 12, 2024 It is a date that is, without a doubt, marked in red on the calendar for thousands of Spanish citizens. That day, in Luxembourg, more than 1,600 kilometers from the capital of Spain, the headquarters of the Supreme Court, the Court of Justice of the European Union (CJEU) will issue a new ruling on the IRPH which is expected to be definitive in determining whether or not the controversial mortgage index is abusive and which could change the criteria of the Spanish court.
Specifically, the European High Court will have to rule on a new preliminary ruling that has been raised on this occasion by the Court of First Instance No. 8 of Donostia-San Sebastián. This is the sixth and last case on the IRPH that the Spanish courts have taken to Europe for resolution by the CJEU.
On previous occasions, The CJEU did not finish clarifying the situation: pointed out that consumers must receive sufficient and clear information about the index, but left the responsibility of deciding in the hands of the Spanish courts if there was a lack of transparency in its marketing.
However, on this occasion, everything indicates that it could be different because the preliminary question raises up to 22 questions to be answered simply without giving room for interpretation. “This ruling could mark a before and after for thousands of people affected”several law firms and associations of financial users agree, such as Asufin, which hopes for “a clarifying ruling for those affected” because “the IRPH index was a nonsense that was placed on many mortgages in our country.” Next, 20 minutes reviews the main keys to this new appointment of the CJEU with the IRPH and some of the most relevant aspects of the index.
Why is this sentence important?
From Arriaga Associates They trust that this CJEU ruling on the IRPH could be the “definitive” one. “The questions in this preliminary ruling have been formulated in such a way that Europe should answer YES or NO to them“says the law firm, which considers this aspect relevant because it “attempts to avoid theoretical and interpretable answers that prolong the conflict.” Is the IRPH an abusive index? or Does its application constitute an unfair practice? are two of the questions raised.
What does this preliminary question focus on?
The 22 questions posed in the preliminary ruling focus on “whether the IRPH is abusive and whether its imposition without information constituted an unfair practice.” “Both issues would lead to declaring the IRPH clause null, something that the TS (Supreme Court) has suddenly eliminated in its resolutions on the IRPH by considering that it is an official index and, therefore, the bank acted in good faith when applying it,” they say from Arriaga.
What would a favorable ruling mean for the consumer?
If the CJEU declares the IRPH to be abusive and orders its nullity, “banks could be forced to return overcharged amounts”say the lawyers of Grupo Alega, who maintain that it would also “close the door to future interpretations by the Spanish Supreme Court, offering greater legal security to those affected.”
What would happen now in the Supreme Court?
The most notable consequence for the Spanish High Court is that it would be forced to resolve with certain speed all the issues that are pending for a year and a half related to the IRPH.
If there is nullity, is the IRPH replaced by another index?
The normal thing is that if the index is declared invalid, it is replaced by another more favorable one, such as the Euribor. However, Arriaga highlights, “In this sense, the judge proposes that the IRPH be maintained but that the negative differential be applied retroactively and the amounts overpaid be returned to the consumer.”
What exactly is the IRPH?
The IRPH is an official mortgage loan index recognized by the Bank of Spain. To calculate it, the average of the interests at which banks place their mortgages is taken. It is the second most used in loans for the purchase of homes only behind the Euribor, whose calculation is linked to loans between banks.
How much have those affected overpaid?
In 2013, when the Euribor began its decline to values ​​close to zero, the IRPH remained stable at 2%. This led to an increase in the prices of the affected mortgages.s between 200 and 300 euros per monthaccording to organizations that defend the interests of those affected, such as Asufin or IRPH Stop Gipuzkoa.
How many citizens have been affected?
Some organizations, like Asufin, talk about around a million people or families affectedapproximately 20% of the mortgages subscribed in our country.