The Supreme decides on Wednesday if the "revolving" cards are usury
It will resolve if the interests offered by these financial products are excessive
The Civil Chamber of Supreme Court address this wednesday interest on cards with deferred payment or "revolving", which in some cases exceed 20%, in response to an appeal filed by Wizink following a ruling by the Provincial Court of Cantabria. In the case that the Supreme Court will analyze this week, the entity applied an interest of 27%, although according to the data collected in December by the Asufin consumer association, the average interest rate of these cards is 25.20%. This means that financing purchases worth 1,000 euros in 24 months means paying interest and commissions an average of 262.47 euros.
A most sentences emanated from provincial courts and hearings they have ruled in favor of the clients, considering “usury” the applied interests by financial institutions. In addition to Wizink, other entities that offer their customers these types of cards are Cofidis, Creditea, Santander Consumer, Carrefour, Cetelem, BBVA, Bankinter and Caixabank, all of which are affected by the Supreme Court's decision, which will have to decide whether these interests are or they are not usury.
From the platform of lawyers Claim For Me, specialized in claims on mortgages referenced to the IRPH, revolving cards and microcredits highlight two possible answers from the high court. The Supreme Court can maintain the criteria established in a 2015 judgment and condemn the financial institution to eliminate all the amounts taxed in terms of interest to the line of credit to the client, declaring the contract as void. But it is also possible that it rejects that the agreed interest is abusive and that it understands that the requirements are not met to consider that an interest rate such as that associated with this type of financing violates the Law of Repression of Usury.
From Asufin, its president, Patricia Suárez, puts the focus on transparency rather than whether it is usurious interests or not, although 90% of the sentences issued so far by the Spanish courts have considered that there is usury. The serious thing is not that the interests are very high, adds Suarez, but that it is not clear how these cards work, hence the Government is urged to approve the regulations announced in December as soon as possible to strengthen the protection of credit users with an indefinite duration or automatic renewal. The Executive announced a ministerial order that will collect new transparency obligations that include more detailed information and that will allow the consumer to have a specific and clear knowledge of the services that he is going to hire and the debt that he periodically maintains with the bank.