Bank union suggests changes to the FX mortgage conversion law

The Polish Bank Association (ZBP) is proposing a number of changes that they think should be implemented into the law on foreign currency conversion of mortgage loans. The biggest threat to the sector's stability, according to ZBP is the rule that 90 percent of the costs of such conversions should be covered by lenders. According to the union head, Krzysztof Pietraszkiewicz, the parliament should take into the consideration the income criterion, meaning that the banks should help those with low income and not everyone who took out the mortgage denominated in Swiss Franc. ZBP postulates that the conversions should occur in cases of apartments not bigger than 75 sqm (currently 100 sqm), According to Pietraszkiewicz, the law in  current form would cost the banking sector PLN 22 billion. The bill was passed in Sejm, Poland's lower house of the Parliament, In September, the upper house, Senat, will debate the law.