The NCFM Administrative Council found a violation of the client’s rights of the mentioned bank due to the terms and conditions of one of the term deposit agreements. They allow the bank to unilaterally change the floating interest rate, “taking into account the refinancing rate of the NBM, inflation rate, market changes and equity rules”. In addition, according to the contractual terms, the bank should not inform the client personally, but “only by posting information on the website and displaying it in the bank’s announcements”.
“The role of each factor mentioned that will lead to a change in the interest rate is uncertain. It is not specified whether they should be considered together, separately or with any precise thresholds. Nor is the frequency of interest rate revisions clear. This ambiguity creates uncertainty: the customer cannot know which change in the inflation rate will change the interest rate when. Or the bank can change the rate absolutely any time it wants,” the Financial Consumer Protection Authority said, explaining its decision.
In addition, the very method of notification does not meet good faith standards, as the consumer does not receive real and timely information, and may remain unaware of the bank’s actions, which creates an imbalance in contractual relations.
In light of these findings, NCFM will notify the court of the requirement to invalidate such clause as a necessary measure to restore the contractual balance and protect rights, decided the NCFM Administrative Board at its meeting on June 24.
