Acquiring a loan from a financial institution is a real guarantee right. It is about complying with a payment on the value of a property. There are many requirements and steps that must be followed during the mortgage process and there is a lot of information that must be taken into account.
That is why in this post we are going to present one of the most important points: the expenses of the mortgages . Continue reading and do not miss any detail to keep up to date on taxes on legal acts, commissions and defaults.
Sharing of mortgage expenses
When signing a loan it is important to bear in mind that the costs generated in banking matters can be equivalent to almost 4,000 euros . It is here when many wonder what these associated expenses are and to whom each one corresponds.
I would notice
The fees corresponding to the notary are paid by the bank . This goes according to the amount of folios that the loan deed carries. They are usually amounts that could reach up to 200 euros.
In this case, the notary has the obligation to inform everything related to the contract to ratify the borrower’s knowledge at the time of signing. For its part, the debtor will grant a statement expressing the total delivery of his documentation and his firm agreement with the content.
The guarantee of the credit corresponds to the bank that confers it, so this is the one that must bear the cost of registering the property. Now, when it comes to registering the release if it belongs to the borrower.
Documented legal acts (AJD)
It is a tax that means practically two third of the total account of the credit expenses. As recently decreed by the same Supreme Court, this payment is assumed by the bank. This amount can reach 6,000 euros, according to the credit.
The Supreme Court has not considered it an abusive clause. On the contrary, it can be considered part of the transparent process that is required of the banking entity, and in turn, is based on the loan’s own price. It is estimated that it varies between 0.5 and 2%.
That is, if the amount is 200,000 euros, the commission is equivalent to between one thousand and 4 thousand euros. This is a fee that will be paid only once, and will include the total payment for processing, granting and studying the credit. This is a payment that the customer must make.
This must be paid by the client to be the maximum interested. Likewise, you have the full right to choose the appraiser you prefer as it is duly approved by the Honest Bank. You can also choose natural persons. For its part, the bank has the obligation to accept having a validity for a period of six months. This amount varies between 300 and 600 euros.
Regulation of mortgage contracts
The new Regulatory Law on Real Estate Credit Contracts was recently approved by order of the European Union and with the objective of granting greater protection to the user . In fact, it has established the new distribution of expenses when signing the mortgage contract, transferring the majority to the bank in order to promote significant savings to customers.
This rule requires financial institutions to continue selling their related products such as life, card and home insurance. The novelty is that now customers can propose alternative policies.
The client will have the option to change the financial entity whenever he wishes . In fact, cases of loans granted before this standard may be subrogated at no cost through a compensation system based on the interest that has been collected and those that are still receivable.
In the case of a novation, those clients who do not agree with the conditions established in the mortgage contract may modify them at no cost from the bank.
Those mortgaged at risk of embargoes have obtained greater protection . This new agreement has increased the months of non-payment to prepare a 15-month loan with an equivalent of 7%.
In this sense, these anticipated commissions for fixed loans have been reduced by half, under a representation of 2% in the first ten years and 1.5% after that. Likewise, the borrower has the opportunity to choose the type of repayment from three to five years, once his credit corresponds to a variable rate.
This law has modified specific cases. Now the bank has the obligation to investigate in depth the liquidity of the mortgages , with the sole objective of avoiding these concessions to clients without economic capacity. They should proceed to check your bank history.