Bank of Cyprus CEO John Hourican has come under fire from opposition parties over comments attributed to him in a leaked email that said politicians are protecting larger businesses in Cyprus.
Banks have been accused by the head of the Borrowers Association of misleading borrowers into signing whatever they suggest through unfounded lies, duress, threats and blackmail.
A proposed lecture on the thorny subject of title deeds which is due to take place in Paphos early in December has 'sold out' with all available seats booked within a week of its announcement.
A report by the Cyprus Central Bank reveals how the island's banks lent millions of Euros recklessly without having properly examined the borrowers' ability to repay or the value of the loan collateral.
A bill aimed at clamping down on banks that profiteer by arbitrarily increasing their margins has been rejected by the banks who argue that it will impede the execution of foreclosure procedures.
Banks in Cyprus will not foreclose on homes belonging to vulnerable groups, the bank association said on Monday, as it sought to allay concerns ahead of a vote on a foreclosures bill at the end of this week.
SYMEA, a trade union established earlier this year intends to block the repossession of mortgaged properties by taking local banking institutions to court according to its president Andreas Alambritis.
The Cyprus Association of Valuers has warned that significant discrepancies between property valuations carried out by the Land Registry, commercial banks and private appraisers could result in legal tangles.
MPs have accused the Banks and the Land Registry of rigging property valuations for their own benefit, while expert appraisers have pointed out that property valuers and the banks use different methodologies.
Six thousand foreclosure requests filed by banks at land registry offices across Cyprus remain pending and are not expected to proceed soon due to the land registry offices heavy workload.
A spokesman for the island's property developers believes that a fire sale of real estate during a recession would not be good for the country and developers are asking for more time to settle their debts.
Central Bank of Cyprus has issued a Code of Conduct to indicate how banks should handle borrowers who are facing financial difficulties, in a bid to make loans more sustainable and avoid mass repossessions.
The Alpha Bank, Bank of Cyprus and the Hellenic Bank have announced plans to lower their interest rates on certain categories of loans including home loans, business loans and credit card loans.
According to a report by Moody's Investor Services, Cypriot banks and cooperatives may require some €1.5 billion on top of the €2.5 billion of EU support funds earmarked for the banking sector.
Following Fitch Ratings downgrade of Cyprus sovereign credit rating on Wednesday, it has pushed the islands top three banks further into junk territory and believes that the failure of the Bank of Cyprus and the Cyprus Popular Bank "is imminent".
One day, it may be necessary for Cyprus to pull out of the euro to regain its social and economic independence as the "one-size-fits-all" policy has not worked for most EU member states.
Banks do not count loans that are fully secure as being nonperforming even though they have not been serviced in 90 days. If the Troika treats such loans as nonperforming, several more billions will be needed to recapitalise them.
Following Fitch Rating's downgrading of the Island's credit rating to junk on Monday, Fitch downgraded the Island's top three banks - the Bank of Cyprus, the Cyprus Popular Bank and the Hellenic Bank earlier today.
The banks and the government have joined the band of 'crooks' masquerading as property developers and estate agents who seem intent on destroying the Island's once thriving property market and its reputation.
Moody's Investor Services had downgraded the Bank of Cyprus and the Hellenic Bank and has rated them and the Cyprus Popular Bank on review for downgrade as a result of their extensive operations in Greece.
