MORTGAGE LOAN

 

 

Mortgage credit

 

Credit purpose

The mortgage credit provided by Municipal Bank could be used for two main purposes:
I. PURCHASE OF IMMOVABLE PROPERTY
The following types of properties may be purchased using a mortgage credit granted for the purchase of residential property:
-
finished (fully built) properties

apartments, houses, villas and studios; garages; shares of co-owned properties
purchase of immovable properties at the level of rough construction and Act 14, using another immovable property as collateral.
II.
REFINANCING OF CREDITS, granted to the applicant, co-debtor or another natural person by other banks.

 

Currency

BGN and EUR

 

Credit amount

Minimum amount – 5000

Maximum amount - BGN 500 000 / EUR 250 000

1. For the “full responsibility” option:

Up to 85 % of the property’s market value for monolithic construction

Up to 70%  of the property’s market value for panel construction

2. For the “limited responsibility” option:

Up to 55% of the property’s market value for monolithic construction

Up to 50% of the property’s market value, accepted as collateral if the property constitutes a prefabricated concrete construction (panel construction)

 

Credit repayment period

Minimum period - 1 (one) year

Maximum period - 30 (thirty) years

 

Option

1. "Full responsibility" – the customer is responsible with all of their property

2. "Limited responsibility" – the creditor is satisfied up to the value of the immovable property used as a collateral

 

Collateral

Liquid fully finished immovable property, owned by the borrower/co-debtor or а third person – apartments, houses, studios, garages along with their adjacent shares of the land or the right to build.

First-ranking mortgage on residential property in favour of Municipal Bank for acceptable property collaterals. The mortgage may also be a second or subsequent-ranking mortgage if the previous mortgages are also in favour of Municipal Bank and guarantee receivables of the credit applicant/co-debtor.

 

Credit repayment

Equal monthly annuity payments, including principal and interest, repayment schedule with equal installments for principal and a decreasing interest rate.

 

Annual interest rate

The BGN credit’s annual interest rate is based on the basic interest rate plus a fixed surcharge.

The EUR credit’s annual interest rate is based on the 6-month EURIBOR plus a fixed surcharge.

Updated information about the credit’s annual interest rates could be found in the  TARIFF of Municipal Bank AD on the interest rates, fees and commissions for natural persons /Bulletin on the interest rates charged by Municipal Bank AD on transactions  with natural persons

 

Fees, commissions and other costs, which are included in the total costs of the credit:

      1.      Fee for consideration and analysis of the credit application (collected upon the submission of the application);

      2.      Commission for credit approval and preparation of the documents of the credit transaction (charged once for a new credit on the agreed credit amount upon the first utilization);

      3.      Renegotiation of the conditions fee/commission:

-          No fee is charged for changes in the maturity and changes of the service account

-          For any other renegotiations;

      4.      Fee for mortgage deletion

 

Updated information about the interest rates, fees and commissions could be found in the  TARIFF of Municipal Bank AD on the interest rates, fees and commissions for natural persons /Bulletin on the interest rates charged by Municipal Bank AD on transactions  with natural persons

 

Other costs

Property collateral  evaluation/revaluation fee according to the tariff for evaluation of mortgage credit collaterals

 

 
 

Annual percentage of charges

 

Credit amount

Interest rate

APR

Period

Monthly

instalment

Number of instalments

Total costs for the credit

Total amount due

100 000 BGN

4.25%

4.43%

30 years

491.94 BGN

360

78 198.27 BGN

178 198.27 BGN

Fees, commissions and other costs, which are included in the total costs for the credit:

      -          Annual interest rate4,25%

      -          Fee for consideration and analysis of the credit application– 50 BGN

      -          One-off fee for credit approval and preparation of documents for the credit transaction 1 %

      -          Fee for preparation of a mortgage deletion application – 50 BGN

 

 

*The APR calculations do not include the costs of the establishment, release and renewal of a mortgage, evaluation, revaluation and insurance of the collateral.

 

Additional services

The bank requires the consumer to conclude and maintain a property insurance policy for the property used as a collateral for the entire term of the credit agreement.

 

 

Bonus

Life insurance at the expense of the bank

 

Necessary documents

Credit application;

Identity documents, including of the credit applicant/ their spouse, co-debtor, respectively third indebted persons, who have provided their immovable property as collateral;

Documents proving income based on the bank’s form;

Documents regarding ownership and evaluation of property, mortgage establishment, purpose of financing and credit utilization;

In case of refinancing the applicant should provide documents regarding the credit granted by the other bank.

 

 

Exchange Rates 18.10.2021

Buy 1.94620
Sell 1.96000
BNB Fixed Rate 1.95583
Buy 1.65080
Sell 1.72780
BNB Fixed Rate 1.68577
Buy 1.79630
Sell 1.86630
BNB Fixed Rate 1.82294
Buy 2.27840
Sell 2.35840
BNB Fixed Rate 2.31821

0700 1 58 85

02/93 00 181
24/7 telephone No. for our cardholders