Dialogos

Borrowers Without Protection – AKEL Revives the Battle for Justice Before Foreclosures

Published January 13, 2026, 06:05
Borrowers Without Protection – AKEL Revives the Battle for Justice Before Foreclosures

AKEL is re-raising the issue of borrower protection, alleging that the existing legal framework operates in favour of banks. MP Andreas Kavkalias stressed the need to change the framework to ensure access to justice for borrowers. While the importance of the Unified Extrajudicial Settlement of Disputes Authority and the Financial Commissioner is recognised, AKEL argues that the government is not demonstrating the necessary political will for fair settlements. It is alleged that borrowers face an indifferent system that does not respect human rights. Financial Commissioner Valentina Georgiades stated that in 2025 the rate of acceptance of her decisions increased to 52%, while refunds of overcharges amounted to €430,000. However, there is reluctance among citizens to resort to the Authority due to the non-binding nature of its decisions. AKEL insists on submitting a bill that will restore borrowers' right to seek justice before any foreclosure. It is also pointed out that the Authority's budget for 2026 is €300,000 in deficit.