One more banking mediation was successfully completed with Anna Korsanou, lawyer, as legal representative. The case was as follows:
It is a pair of borrowers having a loan amounting to 80,000 euro. The borrowers had turned to Katseli’s law and awaited for their case to be brought in court in 2028. However, they had not realized that Kasteli’s law protects other properties and not the main residence. The pair had built a dwelling with separate apartments for their three children and did not wish to lose any of these. Moreover, a health problem they faced made them consider that they wished for an immediate solution to their problem.
They resigned from Katseli’s law and we started the banking mediation process. Their request processing lasted several months and was finally performed in person in a specially designed mediation room (100 m2) by respecting all safety measures due to covid. Separate offices for everyone. Large spaces, distance, open windows, masks, gloves, sanitizers, two toilets, hand washing. The truth is that online mediation cannot compete against the communication in person and the interaction of people.
The regulation achieved included a minor write off and determination of installments with gradual increase, namely a low amount for two years, a little larger for three years and a largest for the next 7 years. At first, the borrowers were troubled with the small amount of write off. Nevertheless, by weighting their alternatives, as well as the wider environment created due to the adoption of the new bankruptcy law, they realized that this was an advantageous choice for them. Katseli’s law constitutes a person-related regulation; this means that if the borrower passes away, this regulation does not continue for his/ her children, whereas the specific regulation will be the same for their children in case anything happens to their parents.
Unfortunately, the adoption of the new bankruptcy law essentially means the acceleration of the enforcement process. This means that the bank does not need to issue an order of payment, to file an opposition, to wait for years to go by, to issue a garnishment order, to file oppositions again. Now, by filing a bankruptcy petition, the liquidation of assets and the writing off of depts will be achieved. The main residence will be protected only for vulnerable persons, namely a few people with extremely low income.
The negotiation is essentially a process based on communication and the weighting of two parameters. The level of difficulty and the importance of the good at stake, as well as of the available alternatives.
However, the borrowers were not forced to sign a regulation they did not like. It is important to highlight this. They completely understood the obligations they undertake, while many hours were dedicated to them; this does not usually take place in the Bank’s branch, although we had previously gone there together, but we were not served well. They signed a completely viable for them regulation allowing them and their children to keep all their assets, a fact that from now on will be a luxury for many borrowers.
The responsibility, honesty, experience and time dedicated to the client, the clear explanation of the laws, the directness, the personal and fast handling of the case by the lawyer herself and not by her partners, the easy communication with the lawyer as all phone calls are answered promptly are what our office provides to our clients, but they are also the reason of successful mediations. The counseling and undertaking of mediations are carried out against payment.
The answer to the question whether a borrower can find a cheap lawyer is yes; he can certainly find a lawyer with an affordable and low fee, but he will not answer his phone, he will not be easy to reach, he will not dedicate time to his client, he will not give a priority to his case.
For more information on the banking mediation process you can book an appointment with Anna Korsanou’s office by a personal meeting or by arranging a phone or skype appointment.