The government intends to suspend compulsory property payments until October

At today's meeting, the government decided to present a bill that would suspend the sale of property as collateral for debts until October 2023. Finance Minister Makis Keravnos stated that this measure would give the government time to find a better solution to the problem.

It is expected that today the government will present its proposal to the Supreme Council, which also includes the establishment of a special court to address issues related to non-performing loans, Kearavnos reported. This is anticipated to facilitate the appeal process for forced sales, providing protection for vulnerable borrowers whose primary residence serves as collateral.

The proposals will be presented for consideration at tomorrow's plenary session, during which a bill will be put forward that grants borrowers the right to go to court to obtain an order to suspend the foreclosure process.

According to Investopedia

Foreclosure is a legal process in which a creditor attempts to recover the amount owed on a defaulted loan by taking ownership of the collateralized property and selling it. Typically, a default is considered to have occurred when the borrower misses a certain number of monthly payments, but it can also happen if the borrower fails to comply with other terms specified in the loan document.

Read more: Government proposal: "unofficial" freeze on the sale of primary residences up to €350,000

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