InsiderEconomyDocuments galore accompany ‘Estia’ Scheme applications

Documents galore accompany ‘Estia’ Scheme applications

‘Estia’ applicants have to attach dozens of documents on the state of play of their assets before they can be considered eligible for the Home Scheme under which the state partly subsidises monthly instalments.

A home borrower’s plethora of requested documents along with his/her application must be submitted before the bank where their loan is between September 2 and November 15.

Last week, Labour Minister Zeta Emilianidou issued a relevant decree along with the application forms to be submitted by interested parties. An application form is divided into eleven parts and includes a total of 33 points.

This has to be accompanied by 51 documents-certificates as well as relevant reports. Each submitted application has to also be accompanied by an authorization order for all documents.

The issued decree effectively paves the way for the implementation of ‘Estia’ Scheme whose beneficiaries are some 15,000 borrowers with red loans totaling around €3.5 billion.

The decree which is now published in the Official Gazette of the Republic initially requests that an applicant fills in all his/her details, such as ID, passport, address, etc.

In addition, an applicant has to declare whether he/she is a co-owner of the primary residence, a co-borrower of red loans or a major shareholder in a legal entity that owes the non-performing credit facilities.

At the same time, an applicant has to declare – amongst other – whether he/she is a legal, permanent resident of the European Union as from 2013, and if they are bankrupt or not.

Both the applicant and the other person under review who are co-owners of the primary residence cannot be under bankruptcy status. If a bankruptcy recovery order has been issued, then they can only participate in the Scheme following the Registrar of Companies’ consent.

The scheme will benefit not only financially shaky customers but also the banks whose balance sheets will now record fewer non-performing loans.

The agreement signed between banks and the government provides for a lift of the banking secrecy of beneficiaries and their families so that the ministry overseeing the scheme will be able to confirm an applicant’s finances.


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