MORE THAN 30,000 CITIZENS PROCESSED THE BANK: Here is the main point of dispute, they are asking for a refund for the processing of the loan.

According to the Association, the NBS believes that the bank has the right to charge costs and fees for banking services. According to this reasoning, the provision of the loan agreement that obliges the borrower to pay the loan costs to the bank is not null and void, as long as the bank’s offer contains clear and unambiguous information about these costs.

According to Dejan Gavrilovic of Efektiva, judging by the verdicts, the law is on the side of the citizens and not the banks, and some banks have already paid money after the first instance verdicts and in a matter of smaller amounts, which is explained by the fact that they want to avoid execution. As he says, loan processing costs are charged as a percentage, from 0.5 percent to 1.5 percent of the loan amount for home loans, up to 15 percent for cash and cash loans.

– It is not logical if two clients enter the bank and one takes a loan of 1,000 euros and the other of 10,000, so the bank charges 20 euros to the first and 200 euros to the other, because it is not clear what the difference is for do business with both clients. – Gavrilović explains and adds that it is not clear what the cost of processing the loan for the bank is. He considers that the bank must explain to the client during the collection that how much the loan process costs, for example, paper, electricity, toner and the like …

In a statement submitted to Tanjug, the National Bank of Serbia notes that the Law on Protection of Users of Financial Services stipulates that the loan contract must contain the type and amount of all fees borne by users of the loan.

– It is important to note that commissions and costs related to making loans, such as processing, monitoring and loan administration costs, which the bank charges users, are included in the calculation of the effective interest rate – read the statement from the Central Bank. They also state that the bank has the legal obligation to clearly present these costs to the user in the pre-contractual phase, that is, to state it in the offer, so that the user has a transparent knowledge of all the costs that fall on him.

The NBS recalls that the position of the Supreme Court of Cassation establishes that these loan costs can be expressed as a percentage and can be collected only by calculating the effective interest rate. According to the statement, the Central Bank cannot comment on judicial decisions or the consequences of those decisions, which, among other things, refer to the work of the courts.

The Association of Banks of Serbia claims that banks have no dilemma about whether the fees for loan processing costs are legal. They also say that Serbia is the only country where there are ongoing campaigns to file lawsuits against banks, although fees are charged for this service in other countries as well.