Features Loan amount From €20,000 Depending on the purpose of the mortgage loan, the percentage that can be financed is: Up to 80% of the estimated value of the property Interest rate The interest rate varies with the Euribor 1M rate plus a spread of 4% that remains fixed for the entire term of the loan. Interest rates are also subject to the Law 128/1975 levy. Today it stands at 0.12% for homes and 0.6% for business premises. Loan term From 3 to 30 years depending on the intended purpose of the mortgage loan: To buy, build or finish a home – from 3 to 30 years To renovate or repair a home – from 3 to 20 years To repay a loan from another bank – up to 3 years + the number of years remaining from the original loan Grace period We can offer grace period ranging from 6 to 18 months for loans you take out to build, finish or buy a property being built. Disbursement Depends on the loan’s purpose: Purchase – immediate disbursement of the amount, lump-sum Construction, completion, renovation, repair – in instalments based on the progress of works Repayment In monthly instalments that repay: Interest, capital and premiums Premiums only during a grace period Instalments are paid automatically from your deposit account. Early repayment option You can repay all or part of the amount at any time at no cost. If you plan to pay off the entire amount, an administration fee is payable in line with the Bank’s pricelist. Collateral Collateral can either take the form of a mortgage lien on the property or a pledge of cash or securities. Mandatory insurance coverage Fire and Earthquake Insurance for the property for an insured capital equal to the cost of building the property Life and permanent total disability insurance for one of the borrowers, for an insured capital equal to the approved loan limit Premiums are payable each month along with the loan instalment Insurance options The Payment Protection Plan comes as an option. This form of insurance coverage provides compensation for: Dismissal or temporary disability due to accident or illness, for full-time, private sector employees with a contract. Hospital treatment and temporary disability due to accident or illness for freelance professionals, civil servants and part-time private sector employees with a contract The compensation guarantees that: Your mortgage loan instalments will continue to be paid as normal for a set period Your insurance coverage will apply for the remainder of the plan, if you opt to continue it, even though you have fully or partially repaid the loan.