6% interest

I finally received my money back on a bungalow purchase which fell apart because the construction plan for the whole project was not legal.    Fortunately, there was a bank guarantee in the contract.   However, by Spanish law, it seems that there should also be a refund of 6% per annum on the amount paid which might be quite substantial ( in my case over £4,000).    I am interested to know how to go about claiming this money, what it might cost and what my chances of getting it might be.     Needless to say, the Spanish solicitor made no mention of this legality and I found out only from an article in the Daily Telegraph.    The Spanish solicitor works primarily on the side of the agent?promotor of the building project.

Any advice would be welcome.    Margaret.

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congratulation for getting your money back, if you don't mind me asking, how long did it takes for the whole process and is the development in the malaga province, cos am also fighting to get my money back on the basis of the developer breaching the contact by not completing on time, infact the develoment was nearlly 1yrs late

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The interst rate that needs to be covered ny the Bank Guarantee was of 6% till 1999 when the General Building Act came in. Now the interest rate is the legal interest which has been during the last years around the 4-5%.

The Bank Guarantee needs to cover those interests.

You can ask for them now. Admninistrative fines can also work as a pressing tool. As if they failed to provide full guarantess according to Law, can be fined with a 25% fine on the must-be-guaranteed amounts.

I think you can success.

Regarding money back after 1 year delay in Malaga, you have got a string case. Just 5 or 6 months are consideres by the Supreme Court, an important breach of contract I usually ask developers for devolution of amounts, legal interests and expenses in these cases.

Maria L. de Castro

Lawyer

www.costaluzlawyers.es

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