Profil:
Bank Millennium SABank Millennium estimates Q3 provision for legal risk on FX mortgages at PLN 470 mln
Bank Millennium estimates the provision for legal risk related to foreign currency mortgage loans in Q3 at PLN 470 million (EUR 109.4 mln), the bank said in a market filing. The estimated cost of mortgage moratorium in Q3 was lowered by PLN 44 million (EUR 10.2 mln) to PLN 157 million (EUR 36.5 mln), which is expected to impact interest income positively in the period.
As reported, in addition, the value of provisions for legal risk related to the portfolio of foreign currency loans granted by the former Euro Bank anticipated to be created (but with no impact on the financial result), is estimated at PLN 62 million (EUR 14.4 mln).
In addition, the bank reported that, following a review of the estimated participation of eligible mortgage borrowers in mortgage moratorium, it has lowered the estimated impact of the Act amending the Act on support for borrowers who have taken out a mortgage loan and are in a difficult financial situation and the Act on crowdfunding for business ventures and assistance to borrowers on the financial results of the bank and its group. As a result, in Q3 2024, the estimated cost of loan holidays was reduced by PLN 44 million (EUR 10.2 mln) to PLN 157 million (EUR 36.5 mln), positively impacting interest income in the period.
The final Q3 2024 legal risk provisions and financial results will be reported in the Q3 2024 financial statements, which are scheduled for publication on October 29.
mcb/ nl/