12/3/24

Emergency weather events in the municipalities of Marradi and Palazzolo sul Senio of the Metropolitan City of Florence: initiatives to support customers

Banca Progetto is standing by its customers to overcome the emergency resulting from the exceptional meteorological events that occurred on September 18, 2024 in the municipalities of Marradi and Palazzolo sul Senio in the Metropolitan City of Florence and on September 23, 2024 in the municipalities of Castagneto Carducci, San Vincenzo and Bibbona in the province of Livorno and Montecatini Val di Cecina, Monteverdi Marittimo, Pomarance and Guardistallo in the province of Pisa, activating the measures required by law.

Banca Progetto has implemented the measures provided for by the Ordinance of the Head of the Civil Protection Department (OCDPC) of November 22, 2024, no. 1.112, published on the website of the Department of Civil Protection, regarding the suspension of payment of installments, following the Resolution of the Council of Ministers of October 29, 2024, with which a state of emergency was declared for 12 months from the date of the resolution.

In particular, Article 11 ("Suspension of Mortgages"), paragraph 1, of the first Ordinance has stipulated that the aforementioned event constitutes force majeure within the meaning and effects of Article 1218 of the Civil Code.

In this regard, it is also provided that mortgage holders related to evacuated buildings or engaged in commercial, economic, or agricultural activities carried out in the same buildings, upon submission of a self-certification of the damage suffered, have the right to request credit and banking institutions, until the habitability or usability of the aforementioned property and in any case no later than the cessation date of the state of emergency (October 29, 2025), a suspension of mortgage payments, choosing between:

• the suspension of the entire installment

• the suspension of only the principal amount

Customers can therefore request the suspension of payment from the Bank by submitting the corresponding request (see Annex 1) accompanied by a self-certification made in accordance with Presidential Decree of December 28, 2000, no. 445, and subsequent amendments (see Self-Certification Annex).

The total amount suspended must be repaid to the Bank without any additional charges or costs in terms of fees or processing expenses. The maturity date of the mortgage will be extended for a period corresponding to the suspension period.

In the case of the suspension of only the principal portion, the borrower will pay the Bank, for the duration of the suspension months, an installment consisting only of calculated interest, based on the remaining principal debt, at the interest rate and according to the terms provided in the contract.

In the case of the suspension of the entire installment (principal portion + interest portion), the accrued and potentially suspended interest during the period, which is not productive of additional interest, will be divided into equal installments and added to the subsequent due installments, and will be entirely due in the event of loan termination or refinancing.