Choosing SEB provides you various benefits
Loan repayment schedule of up to 30 years
Possibility to defer principal payments, if necessary
Remote application and agreement signing, without the need to visit the bank
Calculate loan monthly payment
Calculation example: real estate price 80 000 EUR, customer down payment 12 000 EUR, loan amount 68 000 EUR, interest rate is 6%, the interest rate is variable and consists of the total sum of margin and base rate, loan repayment term 30 years, monthly payment 381 EUR (360 payments in total), calculated according to annuity method. Commission fee for processing the loan is - 0%, commission fee for servicing the current account - 1 EUR per month. Annual percentage rate of charge (APRC) 5.56 %, total amount to be paid 137 437 EUR. The loan is secured by a real estate mortgage, the mentioned real estate must be insured for the entire duration of the loan agreement.
More information
| Service | Fee |
|---|---|
| Revision of the application | Free of charge |
| Processing of the loan, increasing (% of the granted amount)1 | 0,5%, min 100.00 EUR |
| Repayment of the loan before maturity | Free of charge |
| Other changes on the customer's initiative (% of the loan balance) | 0,5%, min 100.00 EUR |
| Change of the monthly loan repayment date in the internet bank | Free of charge |
| Change of the account used for monthly repayment in the internet bank | Free of charge |
| Preparation, drawing up or approval of documents if the pledged immovable property is being sold and if the transaction is financed by another credit institution | 400.00 EUR |
| Uninsured collateral maintenance2 | 20.00 EUR per month |
| Additional services3 | |
| Valuation of collateral | By agreement |
| Preparation, processing and approval of bank's consent upon the customer’s request | By agreement, min 70.00 EUR |
1 The commission fee must be paid on the day the agreement or amendments are signed.
2 Commission fee is applied if the collateral is not insured (insurance policy is not provided to the bank) more than 30 days since expiration of the previous insurance policy.
3 The fee for issuing of references (per document) is set in “Processing of Customer's documents“ section.
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Term for Repayment of the Loan |
Up to 30 Years The period of the loan is determined individually, by evaluating each case separately. |
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Monthly Instalment of the Loan |
May not Exceed 40% of Your Net Income together with your other loan and leasing payments On the date specified by you, loan repayment takes place automatically from your current account in SEB bank. |
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Preconditions for the Receipt of a Loan |
Stable, Regular and Sufficient Income for the Performance of Loan Liabilities Bank evaluates your declared income: salary, income from the economic activity, rent, etc. Positive Borrowing History Prior to granting the loan, your previous financial liabilities will be evaluated. Positive borrowing history consists from prompt performance of liabilities. Collateral on the Loan Bank evaluates the condition and market value of the property. |
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Early loan repayment |
Early repayment of the home loan is possible without additional fee. | ||
| Additional Information |
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The amount of the monthly instalment |
The sum of the monthly instalments depends on several factors:
Schedules of loan repayment
Annuity payments: during the validity term of the loan agreement payments of the principal sum and interest are separated into as equal payments as possible. Amount of the monthly instalment will be constant in the respective period of the interest rate change. Linear payments: payment of the principal sum remains constant during the validity term of the loan, but interest is calculated from the unpaid part of the loan. |
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The interest rate of the loan |
Variable interest rate will be applied to your loan, consisting of: 1) Base rate - variable part of the interest rate. You will be able to choose either a short-term or a long-term interest rate.
Information on inter-bank rates (money value in the market)! 2) Margin rate - fixed part of the loan interest rate, and main criteria for the determination of the amount of the interest rate are:
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Related costs |
One-off costs:Bank-related expenses:
Non-bank-related expenses:
Repeated costs:
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The most convenient way to purchase a home insurance which meets banks requirements is in the Insurance section of the internet bank.
If you wish, you may also submit a valid insurance policy issued by another insurer, in this case please make sure that the policy meets the following criteria:
- The sum insured for the real estate and equipment is equal to the replacement value (insurance sum for apartments at least 1000.00 EUR/m2; for houses and other living premises - 1200.00 EUR/m2) or the actual value if the property is depreciated;
- The real estate is insured, including the supporting structures with finishing;
- Insured risks: Fire, natural disasters, technical communication, theft, and robbery, or coverage of all construction risks, if the construction or reconstruction works on the object are carried out by a construction company;
- Under the loan agreement, AS “SEB banka”, reg. No. 40003151743 must be specified as the Beneficiary of the insurance indemnity for which the payment of insurance indemnity is due in the amount of outstanding loan liabilities at the occurrence of the insured event;
- Deductibles are not bigger then 10% of insurance sum.
We offer a streamlined process for transferring your existing liabilities from another lender to SEB with no additional commission.
What is refinancing?
Mortgage refinancing allows you to transfer your existing mortgage loan from one lender to another. This simplified process involves concluding a new home loan agreement and collateral agreement with the new lender. Additionally, the new lender assumes the mortgage rights on the real estate that were held by the previous lender.
What are the advantages of refinancing with SEB?
By choosing to refinance your existing liabilities with SEB, you gain a reliable long-term partner and numerous advantages, including:
- No commission fee for transferring your mortgage loan from the previous lender.
- We handle the conversion of the existing pledge, so you don’t have to pay a state fee for registering a new pledge.
- Reduced notary costs.
- The new loan amount* completely covers your obligations to the previous lender. We take care of the formalities with the previous lender for you.
- Opportunity to increase the loan amount if you wish to make additional home repairs or improvements.
*The new amount of the loan is the maximum balance of obligations with the previous lender (the balance of the unpaid principal amount, accrued interest and other payments resulting from the mortgage lending agreement), which it would be on the 60th day after the information was provided, assuming that the borrower did not make mortgage payments during this time provided for in the agreement.
When carrying out refinancing, the loan is issued in accordance with the procedures for mortgage refinancing established in regulatory acts, which are stipulated in the Consumer Rights Protection Law and the Cabinet of Ministers regulations of October 25, 2016, No. 691 “Regulations Regarding Consumer Credit”.
How to refinance with SEB?
- Application and consultation
Submit an application. Following that, we will arrange a remote online or in-person consultation to outline the refinancing process and answer all your questions. - Submission of documents
Submit the documents necessary for refinancing. - Bank offer
We will review the application as quickly as possible and make you our offer. If you have any doubts or questions about the conditions, please discuss them with your client executive at SEB. - Contacting the previous lender
If you accept our refinancing offer, we will handle the communication and formalities with your previous lender. - Signing the new agreements
We will ask you to sign a new loan and collateral agreement with SEB. To mitigate the risks associated with home loan repayment, we recommend considering loan payment insurance. - Signing documents at a notary
You need to certify the documents related to the conversion of the pledge at a notary. You can also use remote video conference to communicate and confirm documents with the notary. - Submission of documents to the Land Registry
The conversion of the lien rights and related prohibitions must be registered in the Land Registry in favour of SEB. - Changes in the home insurance policy
Submit a request to the insurer to change the beneficiary in the policy to SEB. - We clear the previous obligations
We will make a payment to your previous lender, clearing your mortgage obligations in full. - Refinancing is done
The refinancing process is completed successfully!
Important to know
Loan payment insurance
- Financial support to the borrower and family members in the event of serious health problems, as well as in case of loss of life or forced unemployment
- Security as the family is protected from the loss of property in unexpected life situations
- Insurance can be purchased conveniently in the internet bank, and the premium is deducted automatically together with the loan payment
Which loan type is the most suitable for you?
Select the goal you wish to achieve and compare the available financing solutions.
