Mortgages

За български граждани прочетете тук   These conditions shall be submitted to loan applicants, physical persons, Bulgarian and foreign individuals, who live and work outside Bulgaria   DSK BANK CONDITIONS FOR PROVIDING STANDARD MORTGAGE LOANS TO PHYSICAL PERSONS, BULGARIAN AND FOREIGN INDIVIDUALS DSK Bank grant standard mortgage loans to physical persons, Bulgarian and foreign individuals, living and working outside Bulgaria, who shall be minimum 21 years old as of the loan application submission date and maximum 65 years old as of the loan final due date. Loan parameters Loan currency: ЕUR. Income sufficiency shall be examined by the Bank and the following documents shall be provided therefore: Irrespective of the income source: Last six month bank statements of the account on which the income is received, certified by the respective bank; Reference from the service bank; For employees, together with the documents under item 2.1.: Document from an employer for taxes paid by the client for the previous year; Last six month pay-slips, certified by the employer or a certificate from an employer for the salary paid for the last 6 (six) months; Document from an employer, certifying the employment as of the date of the loan application.This document and the certificate for salary paid may be prepared as one single document; For self-employed persons, together with the documents under item 2.1 – tax return for the previous 2 (two) years, certified by the respective income authority. Credit liabilities shall be certified by a credit report from a credit bureau/credit registry or by a document for credit liabilities issued by the service bank where a local credit bureau/credit registry is not available. Loan applicants, providing a credit report from a credit bureau or credit registry shall not provide a reference from the service bank. All documents certifying incomes and credit liabilities shall be provided in original. The Bank shall accept the documents together with their translation in Bulgarian language by a licensed translator. Notice: In case of lack or impossibility for certification of the credit report in order the data therein to be verified and in case the agent company or the authorized person have an access (their own or client’s) to the credit bureau web-site or in case the client applies for the loan by himself, the information shall be derived from the web-site of the credit bureau at the Bank outlet in the presence of bank employee. The credit report shall be certified by the agent company or the client or the authorized person (i.e. the person having the access) on one hand and the Bank employee on the other hand. Loan applicant’s net income shall be the certified gross income reduced by tax duties, healthy contributions, social security contributions as described in the submitted documents and declared support money due. Loan applicant’s income shall be considered sufficient provided that the following requirements are met: In case a credit report from a credit bureau including information on credit liabilities is provided or in case the credit liabilities are certified by the service bank – the amount of the monthly installments on all credit liabilities /loans, credit cards, mortgage loans/ including the monthly installment on the loan requested shall not exceed 50 % of the net monthly individual or family income of the loan applicant. In case no document for credit liabilities is provided, i.e. without a credit report from a credit bureau or in case the service bank certifies that the applicant has no credit liabilities or credit history – the amount of the monthly installment on the loan requested shall not exceed 35 % of the net individual or family monthly income of the loan applicant. Minimum credit score if a credit report from a credit bureau is provided: Minimum 450 – if the credit report is provided by UK Equifax Credit Bureau, Minimum 745 for FICO credit score in USA. In case the loan applicants are spouses, at least one of them shall meet the credit score requirement; Minimum EUR30 000 gross annual income; Loan applicants with default/delinquent liabilities shall not be credited. In case the currency of the declared income differs from the currency of the loan requested, for income sufficiency assessment, this income shall be recalculated in the loan currency at the Bulgarian National Bank exchange rate as of the day of preparing the proposal for granting the loan. Obligatory Life Insurance of DEBTOR in favor of DSK Bank, kept valid during the loan repayment period. Loan amount: Maximum loan amount is up to 60 % of the valuation of the real estate accepted as collateral as determined by the Bank. The particular loan amount shall not be lower than EUR 5 000 and not higher than EUR 100 000.   Total credit exposure: The loan applicant may use more than one standard mortgage loan provided by DSK Bank whereas their total amount shall not exceed EUR 100 000. Requirement for using more than one loan: The loan applicant shall have minimum 6- month credit history with DSK Bank. Collaterals Mortgage loan may be secured by solid flats and houses located on the territory of Bulgaria for which use permit is obtained. Only one real estate may be accepted as collateral for one loan. Combination of collaterals may not be applied. The real estate accepted as collateral shall have no encumbrances. Mortgage in favour of DSK Bank shall be registered for securing the loan. The real estate accepted as collateral shall be insured according to the Bulgarian law at market value as determined by an appraiser of the Bank and shall be insured for the insurance risks specified by the Bank. All expenses for registration of collaterals and their insurance shall be paid by DEBTOR. Maximum repayment term: 15 years Grace periods for loan repayment: grace period cannot be agreed. Loan utilization: one-off on DEBTOR’s current account The Bank requires that the title on the real estate has been acquired by the loan applicant as an individual. Loan repayment: by equal monthly installment including payment for interest and principal at a due date specified by the Bank. Interests: Floating interest formed by base interest and add-on is accrued on the loan as follows: Base interest rate – 3.69 % and add-on 3.80 % or totally 7.49 % Sanctions for non-payment: The sanction shall be applied from the seventh day following the due date whereas DEBTOR shall pay interest on the outstanding loan at the applied rate increased by a penalty add-on of 3 percentage points. In case of delay in payments for principal and/or interest over 90 days, the outstanding loan shall be prepaid and is recorded as past due. DEBTOR shall pay interest on the past due loan at the applied rate increased by a penalty add-on of 10 percentage points. Fees and commissions: Fee for review of loan application and real estate evaluation – EUR 250. The fee is non-refundable if the loan application is rejected. Management fee – 1 % single payment on the amount of the permitted loan. Monthly fee for maintenance and operative servicing of EUR current account – EUR 0,60. Partial or full prepayment fee – 5 % on the prepaid amount for the first three years and 3% on the prepaid amount after the third year. The fee shall be applied irrespective of the amount of the prepaid amount and shall be paid upon prepayment from the funds provided on the current account. For other services provided in regard to the loan, the Bank shall apply the fees as determined in DSK Bank Tariff of Fees and Commissions. The loan agreement shall be concluded in Bulgaria and the applicable law therein is the Bulgarian law. For review of the loan application, the loan applicants shall fill in documents by form of DSK Bank.