Banks Propose Electronic Foreclosures to Avoid Angry Court Demonstrators



foreclosure

Banks want foreclosures to be carried out electronically so as to avoid tension caused by a growing movement of angered citizens that block repossessions at courts. The idea would mean that notaries, which bear the main brunt of citizens’ anger, would no longer be required to be physically present during the procedure.

Greece’s creditors have backed the idea and representatives of banks have discussed it as a possible way of circumnavigating angered protestors. The initiative was outlined in a report by the Hellenic Financial Stability Fund (HFSF) as a way of dealing with the tension caused by the consequences of nonperforming loans (NPLs) while also ensuring that there is transparency in foreclosure procedures.

The notaries union decided to boycott repossessions of first homes at courts as citizens anger is mounting. One example was noted when demonstrators barged into an Athens courtroom causing notaries who defied their union’s boycott to flee. Notaries have repeatedly called for clarifications regarding the legal situation on repossessions related to first homes so as “to ensure the legality and smoothness of the proceedings.” Most of them fear that they may be targeted by angered citizens.

As the case stands, the government pledged to protect the first homes of those with NPLs, however, there have been no clear guidelines regarding this. Notaries have frozen procedures and this has caused a huge backlog of cases.