• Litigation & Dispute Resolution

    Bank Claims & Mortgage Relief – Case Strategy

    If you are struggling with a Spanish mortgage, facing arrears or dealing with a bank claim, it is important to act quickly. Ignoring the problem will not make it go away, and delaying may reduce your chances of finding a solution.

    At Del Canto Chambers, we have helped many UK nationals and international clients resolve mortgage and property-related issues in Spain. Our dual-qualified lawyers based in the UK and Spain negotiate directly with Spanish lenders to reach practical, fair and legally sound outcomes.

    Foreign debts, including Spanish mortgages, can be pursued across borders. Through EU and international cooperation mechanisms, Spanish lenders and debt purchasers can enforce claims against UK residents. Our goal is to help you protect your assets, credit record and peace of mind.

Common issues we assist with

Inability to pay a Spanish mortgage due to financial hardship

Negative equity and declining property values

Mortgage arrears and repossession proceedings

Unfair mortgage clauses or abusive interest rate terms

Lost deposits from uncompleted property developments

We act from both our UK and Spanish offices, offering bilingual support and full legal representation in negotiations and court proceedings.

Spanish property in negative equity

A significant drop in Spanish property values since 2008 has left many owners owing more than their property is worth. This situation can be distressing, especially when selling would still leave an outstanding debt.

We have assisted numerous foreign owners in negotiating with banks to:

  • Refinance or restructure their mortgage terms
  • Negotiate partial or total debt forgiveness
  • Reach settlement agreements that prevent further legal action

If you are in negative equity, contact us to explore possible legal and financial solutions.

Spanish mortgage arrears and repossession

Falling behind on Spanish mortgage payments can lead to repossession and auction of the property. Unfortunately, auction sales often fail to cover the full loan balance, leaving borrowers with residual debts.

Our lawyers can:

  • Negotiate with your lender to suspend or restructure payments
  • Represent you in court to contest claims or mitigate liability
  • Protect your UK and Spanish assets from enforcement
  • Prevent or delay repossession through legal action
Contact

How we can help you with Spanish bank claims and mortgage disputes

Our bilingual team of UK- and Spain-qualified lawyers can:

Review your mortgage or bank documents and identify claims.

Negotiate with banks to reduce or settle outstanding debts.

Recover property deposits and excess interest payments.

Represent you in Spanish court proceedings when necessary.

We combine legal expertise, financial insight and cross-border experience to protect your interests and achieve the best outcome possible.

Contact us today to discuss your situation confidentially and explore the options available to you.

Spanish property deposit reclaims

Following the 2008 financial crisis, many developers went bankrupt after taking deposits for properties that were never completed.

Thanks to Spanish Supreme Court rulings, affected buyers can now reclaim their deposits directly from the banks that received or guaranteed the funds — including the full amount plus interest.

We help clients prepare and file these claims efficiently, handling the entire process from documentation to court representation when required.

Spanish mortgage floor clauses H2

Many Spanish mortgages signed between 2001 and 2012 included “floor clauses” that set a minimum interest rate, preventing borrowers from benefiting when Euribor rates fell.

In 2016, the European Court of Justice ruled that Spanish banks must refund the excessive interest charged since the start of each mortgage.

You may be eligible to claim if:

  • Your mortgage payments did not follow Euribor rate changes
  • Your agreement included a minimum interest clause
  • You incurred excessive interest or additional fees (such as notary, tax or registry expenses)

We have extensive experience negotiating with Spanish banks to recover full compensation. Be cautious about accepting bank offers without legal advice, as lenders often propose partial settlements unless faced with legal action.

Contact