“Have a ‘red loan’? You have the green light to make claims,” said Nikos Androulakis, leader of PASOK – Movement for Change, in a new TikTok video posted Thursday, 18 June 2026. His statement follows a landmark ruling by Greece’s Supreme Court (Areios Pagos), which determined that interest on court-ordered debt repayment plans must be calculated only on the monthly instalment — not on the entire outstanding principal, as had unjustifiably occurred until now.
A Ruling with Real Impact
The Areios Pagos decision applies to borrowers whose loans have entered judicial restructuring — commonly referred to as ‘red loans’, meaning they are severely overdue and often subject to enforcement actions. Under the previous practice, lenders and investment funds applied compound or flat-rate interest on the full loan balance, dramatically inflating repayment amounts and pushing many borrowers further into distress.
Criticism of Government Response
Androulakis sharply criticised recent public statements by government officials regarding how the ruling will be implemented. He accused the current administration of prioritising financial institutions over citizens, saying: “The government isn’t assessing consequences for people — it’s calculating how much less banks and investment funds will pay. Again, the funds win, and you lose.”
PASOK’s Demands
In response, PASOK is calling for immediate and full implementation of the Supreme Court’s decision, including:
- Immediate application of the ruling across all relevant cases;
- Direct notification to every affected borrower about their revised, lower monthly payment;
- Refund of any excess amounts collected under the old, unlawful calculation method;
- Re-evaluation of cases where borrowers lost legal protections — such as the ‘first home’ safeguard — because they couldn’t afford those inflated, illegal instalments.
“This isn’t a matter of political choice — it’s a matter of the rule of law,” Androulakis stressed. “It’s your right. Non-negotiable.”
The message ends with a clear question: “With borrowers — or with the funds?” PASOK’s position, he says, is unequivocal.