March 3rd, 2009

Parliament passes “mortgage relief” bill for newly jobless

Hungary’s parliament has passed a bill proposed by the minority governing Socialist party on providing state aid for households struggling to pay monthly mortgage instalments, said Nepszabadsag daily on Tuesday.

The government needed the votes late on Monday of the conservative Democratic Forum and three independent deputies to pass the law, which allows state aid to be given to people who were made redundant as a result of the economic crisis.

Main conservative party Fidesz and the small liberal Free Democrats withheld their support for the package which will require the approval of the European Commission.

People who lost their jobs after September 30 last year are entitled to 10,000 forints (EUR 33) towards their monthly mortgage repayments for a maximum period of two years, and the state will guarantee their mortgages. Thereafter the parties and banks will enter into negotiations on a range of options for the basis of future repayments.

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  1. Nicole says:

    Makes me wonder how high the mortgage is?!