There is extensive legislation governing the money lending business. A mortgage loan contract is an lengthy document with many legal implications which is signed by the parties in a public deed before a Notary Public.

Banks are well advised by their in-house team of lawyers as to what clauses are to be included in the deed. The borrower, on the contrary, hires a lawyer to make sure the purchase of a property is a sound investment, but does not check the particular clauses of the mortgage deed.

In addition to this, the mortgage loan contract comes associated with other legally binding agreements, such as home insurance and life insurance. There is plenty is small print everywhere, and although the consumers' regulations are extremely strict in this respect, these contracts are not always registered in the appropriate registry which verifies the fairness of the clauses.

A mortgage loan is an important part of the investment of the property buyer and poor legal advice when taking out the mortgage can put the borrower in a compromising situation.

Lawyers acting as mortgage brokers will ensure any and all legal requirements deriving from the loan agreement are met and that the borrower is protected throughout the life of the mortgage loan contract.

In connection to this, AUSBANC (Spanish Users Association of Banking Services) recently released its 1999 memorandum where it states that Spanish lending entities are imposing abusive conditions on foreigners who purchase property in Spain. See news.