Our steadfast assertion on foreclosures is yielding results
24 April 2026, AKEL C.C. Press Office, Nicosia
In our effort to build a safety net for borrowers and guarantors, in our effort to restore—even partially—the balance between the privileges of the banks and the rights of borrowers and guarantors, AKEL has submitted more than 35 bill proposals and amendments from 2014 to the present. Among others:
- To protect borrowers from foreclosures due to insolvent developers
- To issue an order suspending debt collection and/or foreclosure
- To grant the right to file a complaint against a credit institution with the Governor of the Central Bank
- For the borrower’s right of first refusal and preferential purchase status over the highest bidder in the event of a forced sale
- For the extension of the suspension of foreclosure in cases of trapped buyers
- For the complete prohibition on the sale of loans valued up to €350,000 for primary residences and small commercial properties
- To protect guarantors regarding verifiable debts of a bankrupt borrower
- To safeguard the right to housing, as stipulated by the Constitution, in the event of a foreclosure auction
- To preserve the right of a mortgaged debtor to file a petition or appeal to secure a stay of foreclosure
- To strengthen and expand the powers of the Financial Commissioner
- To write off the remaining debt in the event of a foreclosure and auction, for primary debtors and guarantors
We have consistently asserted for the many who were not, nor chose to become, insolvent. Honest homeowners and professionals who had been servicing their loans for years, but the economic crisis, job loss, reduced income, or illness led to the spiral of so-called “red loans.” Loans are classified as non-performing—a label arbitrarily applied—if there is a delay of just three instalments (90 days). Even if you’ve been paying on time your whole life.
As a result of AKELs persistence and assertions, yesterday our core proposal was approved by the House of Representatives for the second time, concerning the self-evident right of access to courts with the aim of suspending a foreclosure until the case is adjudicated, when there is an allegation of abusive clauses or a dispute over the balance. The majority of the House rejected the President of the Republic’s referral, which was unnecessary, since our proposal is legally sound and socially just.
We call on the President of the Republic to respect the will of the parliamentary majority and sign the relevant legislation. Thousands of ordinary citizens have already been evicted from their homes or lost their business premises because both the previous government and the DISY–DIKO parties have done their upmost to support the privileges of the banks and hedge funds in a provocative and unjust manner.
