Watchdog fines PKO BP

PKO BP has been fined some PLN 29 million for consumer rights violations when it granted cash loans, Poland’s anti-monopoly and consumer protection office UOKiK said in a statement. The lender was fined for having clauses in its agreements that allowed the bank to change the essential terms of the loan, such as interest rates, without specifying under which circumstances such changes may be implemented. “The bank made a stipulation that the credit interest may be altered. It provided, however, neither the circumstances when such a change may occur nor its extent. Such terms provide an undertaking with an opportunity to make any decisions concerning the change of interest rate. A consumer is not able to predict the time and volume of increase in the interest rate,” UOKiK wrote in its statement. PKO BP also presented its clients fee sheets which were valid for only a day, which did not allow to compare offers with other banks ahead of making a decision on drawing a loan, UOKiK said. PKO BP has the right to appeal the decision in court, UOKiK noted.