BoF's Noyer warns on imprudent mortgage lending

Bank of France governor Christian Noyer told the French banking commission Wednesday 28 June that imprudent mortgage lending by French banks could lead to problems if interest rates rise or property prices fall.

"The persistent easing of conditions for the granting of loans, particularly through reduced requirements for borrowers' personal contribution, combined with very low margins...could have negative consequences on the solvency of households and on the financial situation of lending inst

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