Newsletter July 2019
Dear Real Estate Friends
Money is becoming cheaper and cheaper, and people are now talking about minus interest on savings. It was unclear up to now whether negative interest rates could also occur for mortgages. Now a federal court judgement denied this question. The bank's defence strategy was interesting: it would not use money on the capital market, but savings credit. Interesting, if one negotiates with the bank for an early repayment fee, one is always referred to the capital market situation. The Federal Court answered the question in the negative, as a contractual clause was missing in the present case. Customers would have to read thus with the new conclusion the written in small letters well and also times such a clause delete. More about this in the NZZ article, which comments well on the federal court decision (in French).
yours sincerly,
