Credit processing fees now illegally: OGH judgment causes excitement!

Credit processing fees now illegally: OGH judgment causes excitement!

Österreich - The Supreme Court (OGH) made a pioneering judgment on March 24, 2025 and explains that loan processing fees in Austria are illegal. This is the first time that such a decision is made in this context, and it is based on the latest guidelines of the European Court of Justice (ECJ) on the fees in consumer contracts. The OGH refers in particular to ECJ judgments against the Spanish Caixabank, which form the basis of this decision. The ECJ clearly states that loan processing fees are considered an additional fee and must be objectively justified for their legality, and they are also subject to the strict transparency requirements.

With this judgment, the banking industry is now offset by a significant risk of process, which may be enough at billions. Richard Eibl, Managing Director of Padronus, reports on several thousand interested parties for collecting lawsuits who are now directed against banks. The company Padronus, in cooperation with the Consumer Protection Association (VSV), prepares extensive association lawsuits against several large banks. These complaints aim to strengthen the rights of borrower by illegally paid amounts.

legal situation and claims for recovery

The OGH has decided in a specific case that took place between the association for consumer information and the WSK Bank (2 OB 238/23Y). In this decisive reasoning, the OGH reinforced the ECJ's transparency requirements for clauses in consumer contracts. Clauses for processing fees as well as for survey, transfer and postage costs were classified as non-transparent.

In the specific case of the WSK Bank, the loan contracts provided for a one-time processing fee of 4 % of the loan amount, in addition to survey and transfer costs. These fees were considered inadmissible because it remains unclear which services are covered with the processing fee. Affected borrowers now have the option of inadmissible to recalculate fees. This claim for recovery only expires 30 years after the payment and is paid at 4 %.

outlook for borrower

The judgment has far -reaching consequences for all types of loans at Austrian banks. Credit contracts that were concluded before 2008 could also fall underneath because they contain potentially non -transparent clauses. Lawyer Dr. Wolfgang Haslinger offers affected customers support in checking their loan contracts and the assertion of their claims. Legal support could also be possible for customers with legal protection insurance without additional costs.

These developments are a role of transparency in the terms and conditions between banks and consumers. The new legal provisions are intended to ensure that borrowers are protected from unfair practices. Further information on the new regulations and their effects can be found on the official pages of the European Commission, which provide comprehensive instructions and resources to strengthen consumer protection.

For more details, read the information from OTS href = "https://www.rahaslinger.at/2024/24/kredit-garzugungsgebuehren-unzulaessig-eugh-recht-fleben-fuer-kreditär/"> ra Haslinger and the official information of the European Commission .