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Landsbanki 'scam' victims make progress in the courts

A protest against the bank in February last year.
A protest against the bank in February last year. / Josele-Lanza
  • A Marbella court has declared the loan of one couple to be void because of unfair terms and lack of proof that the moneywas ever received

A court in Marbella has ruled in favour of a couple involved in the ongoing legal action against Icelandic bank Landsbanki.

Some 200 retirees, many of them British nationals living on the Costa del Sol, have come together to coordinate legal action against the bank who they say sold them a financial product that turned out to be "toxic".

They launched a class action against Landsbanki last year for talking in to remortgaging their homes and using most of the money from the loans to invest in high-risk funds which resulted in them losing all of their money.

Last week, however, some progress was made as a Marbella court ruled against the bank's claims for a couple to pay back its loan. The court said the loan was void because of unfair terms and lack of proof that the money was ever received.

According to the lawyer leading the class action, Ignacio Infante: "This sentence has backed up what we've been saying all along. The details of the product were very complicated and the bank didn't treat them as consumers, but as professional financiers and that is why the court has voided them for being abusive."