Legal Acts in English

This Law shall regulate the rights and obligations of a bank and a financial service consumer - natural person, with whom the bank concluded an agreement on the housing loan with a currency clause - indexed to Swiss francs (CHF), in the procedure of the conversion of debt under such loan into debt indexed to euros (EUR).

For the purposes of this Law, certain terms shall have the following meaning:

1) bank shall have the meaning as defined by the law governing banks;

2) consumer shall be a natural person who concluded with a bank an agreement on the loan not intended for his/her business or other commercial activity;

3) residential real estate shall be a house, apartment and parts of a residential building intended for residence, a garage and/or a garage place together with the apartment, as well as a plot of land with the construction permit for building a house, with vacation homes not considered residential real estate;

4) loan agreement shall be an agreement granting to a consumer a loan which is indexed, i.e. contains a CHF-currency clause, and which is intended for the purchase of residential real estate and/or its renovation and/or adaptation and/or reconstruction, as well as for the refinancing of such loans;

5) housing loan shall be a loan which is subject to the loan agreement;

6) conversion exchange rate shall be the CHF/EUR middle exchange rate calculated based on official middle exchange rates of the National Bank of Serbia - RSD/EUR and RSD/CHF exchange rates, valid on the conversion day;

7) conversion day shall be the day of concluding the agreement on the conversion under this Law;

8) type of loan shall be one of the following types: a loan for the purchase of residential real estate; loan for renovation and/or adaptation and/or reconstruction of residential real estate; loan for refinancing of housing loans;

9) currency clause shall be the meaning as defined by the laws governing foreign exchange operations and contracts and torts.

The provisions of this Law shall apply to the agreements on loans whose repayment is underway on the day this Law enters into force, apart from agreements where housing loans were converted into EUR-indexed housing loans until that day.

The provisions of this Law shall also apply to agreements on housing loans where debt fell due in entirety until the day this Law enters into force, but the procedure of enforcement or out-of-court settlement has not been instituted, and/or in respect of which the procedure of enforcement or out-of-court settlement was instituted or was underway until that day, including housing loans where residential real estate which served as collateral was sold, but the debt was not settled in entirety.