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Banks may not change interest rates arbitrarily
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The EFTA Court's conclusion is unequivocal as regards the so-called Interest rate case. The court pronounced its judgment today and is in favor of the loan. Previously, the District Court of Reykjaness and Reykjavík had instructed the Court to interpret the European Directives concerning loans to consumers bearing variable interest rates. This means that banks are not allowed to change interest rates at will, and the current terms of the banks d…
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