Banks in Romania submit 151 notices to Constitutional Court on new law

Local lenders have submitted over 151 notices to the Constitutional Court on the giving-in-payment law. The court will analyze them in September. Most of the notices belong to Raiffeisen Bank, Bancpost, Banca Transilvania, and Banca Romaneasca, reports local News.ro. The lenders have argued that the law is not constitutional. The law, which went into force in May this year, allows people with mortgage loans to give in their homes to banks if they can’t repay their loans anymore. Raiffeisen Bank has submitted 35 notices to the Constitution Court. It was followed by Bancpost, with 26 cases, and Banca Transilvania, with 24 notices. This week, Raiffeisen Bank will publicly warn the state that the law is endangering the bank’s investments. Romania has concluded several bilateral agreements that ensure the protection of foreign investments. Raiffeisen Bank will complain that the state is ignoring these agreements by violating property rights. editor@romania-insider.com