Do you think there is no difference between consumer friendly products anymore? You were wrong! Here’s the point to save you some pretty money!
Good, but why good?
The National Bank of Hungary has introduced the Qualified Consumer Friendly Home Loan Rating on the basis of a well-considered strategy.
The rating is intended to improve the transparency of the mortgage market and offset pricing distortions. This means that a credit institution wishing to list its home loan as Consumer-friendly must adapt it to certain conditions. Of course, the products will be similar, so the product owners will have to compete with other market players.
Qualified Consumer Credit Qualification
If a home loan product is rated as consumer-friendly by the National Bank of Hungary, we can be sure of the following:
- During the repayment, the monthly installments – within the interest period – are equal (so-called annuity repayments)
- The interest period is fixed at 3, 5 or 10 years or until the end of the term
- The credit assessment deadline is 15 business days after the property is valued
- The payout deadline is 2 business days after the fulfillment of the payout conditions
- The interest rate premium on the reference value chosen by the creditor (bank) shall not exceed 3.5 percentage points
- Charges incurred up to disbursement and any prepayment are maximized
- The disbursement fee is a maximum of 0.75% of the loan amount, but not more than HUF 150,000
- The prepayment fee shall not exceed 1% of the prepaid amount, and up to the amount of the contractual savings, the related government subsidy and the interest credited on the savings account deposit shall be free of charge.
The existence of the above conditions shall in all cases be verified by the holder of the Qualified Consumer Friendly Home Loan trademark, the National Bank of Hungary. If the MNB finds it all right, it will provide the rating, whose official logo is also known:
First among the equations
In order to qualify, certain basic requirements must be met, but in addition, it is worthwhile for product developers to further refine their offer in order to outperform rival players.
For example, with Good Finance Consumer Friendly Home Loans we can not only change the length of the loan interest free of charge, but if the above requirements are met, the Bank will reimburse.
- valuation fee; and
- the fee for notarial deed, or
- you can also do all the land administration for us.
In addition, the charge for the ownership sheet or, if it arises, the copy of the map, is set at $ 0.
If you are interested in the details, you can use the easy-to-use calculator to plan the expected costs in advance, so you can get an idea of the exact numbers of the offer: