Erste banka offers special terms for existing loan refinancing

Zagreb, 21 March 2016 – Erste banka introduced more affordable loans designed to refinance the existing outstanding loans from the Bank’s current offer. By 30 June 2016 all existing and new Bank clients will be able to take out more affordable loans to refinance their existing purpose-specific loans approved by Erste bank and existing loans approved by other banks. The more affordable loans will be exempted from the loan processing fee for the new loan application, as well as from the loan terms modification fee for the loans the clients are currently repaying. The Bank will also not charge the costs of estimation of the real estate property or the review of the estimation of the real estate property, and will cover these costs in entirety. In addition to the above benefits, the Bank also offers the possibility of taking out somewhat higher loan amounts so that clients have enough funds to cover the costs of exchange rate differences and public notary costs. Clients who take out a new loan to refinance an existing loan at Erste banka will be exempted from the early loan repayment charge.

Clients who wish to refinance existing home loans that they are currently repaying may take out other home loans (standard home loans, eco home loans, home renovation loans). Clients can choose between home loans with a currency clause denominated in EUR with 30-year maturity and a 5.183% interest rate, as well as home loans denominated in HRK with 20-year maturity and an interest rate of 5.25%. Eco home loans denominated in EUR are the loan model with the most affordable interest rate at the moment. The interest rate is variable and stands at 4.883%. The maximum loan amount is EUR 500,000 and maturity is up to 30 years. Eco home loans can be used to finance the purchase of a high energy efficiency home (A+, A, B and C), construction, upgrade and reconstruction of high energy efficiency homes, purchase and installation of the equipment for the utilisation of renewable energy sources, real estate property improvements designed to reduce energy consumption, heat insulation of residential buildings, refinancing of the costs of required permits, decisions, approvals and documentation as per the regulations regulating the energy sector.

EXAMPLE

An example of a calculation for an eco home loan taken out five years ago and a loan taken out to refinance it at this moment