BUDAPEST, June 27 Hungary's government submitted
legislation to parliament on Friday, declaring that several
costs banks had charged foreign currency and forint borrowers
were unfair, implementing a recent Supreme Court ruling for all
The draft bill published on parliament's website says the
exchange rate spread applied in foreign currency loan contracts,
banks using different rates when disbursing loans and when
calculating monthly repayments, was void.
The bill, subject to approval by lawmakers, orders a
recalculation of spreads within 90 days of the law taking effect
based on the central bank's official exchange rates.
It also declares unilateral interest and fee rises in loan
contracts, both forint-denominated and foreign currency loans,
unfair and void unless banks challenge this provision and prove
their right with tight deadlines.
(Reporting by Gergely Szakacs and Krisztina Than)