26.4 C
Saturday, September 23, 2023

KEDIPES introduces 2 fixed interest rate options

Must read

Decided to review pricing of new restructurings after successive ECB rate hikes

Εισαγει 2 επιλογες σταθερ ων επιτοκΙων η ΚΕΔΙΠΕΣ

Two fixed interest rate options are being introduced by KEDIPES, one that will expire at the end of 2025 and one where the loan will have a fixed interest rate for the entire life of the restructured loan.

The Cyprus Asset Management Company Limited (“KEDIPES”), following successive increases in the European Central Bank's main refinancing operations rate (“ECB Base Rate”) led by the significant increase in inflation and due to the wider effects on the household budget , decided to revise the pricing of new restructurings by offering borrowers two options.

1. Introduction of a fixed interest period, which will end on 12/31/2025

• For the period from the conclusion of the relevant agreement until 12/31/2025, they will bear a fixed interest rate as follows:
      -restructurings in relation to housing loans 3.50% and
-restructurings in relation to credit facilities for other purposes 4%.
• At the end of the aforementioned fixed interest period and until repayment, they will carry a floating interest rate equal to the current European Central Bank Base Rate (main refinancing operations), plus a margin, which will amount to 2.00% for restructurings in relation to housing loans and in 2.50% for restructurings in relation to credit facilities for other purposes.

2. Fixed interest rate for the life of the restructured loan

• The amount of the fixed interest rate, which will be valid for the entire duration of the restructured loan, will amount to 4.50% for housing loans and 5.0% for other loans.
This option will be available at the end of July.

It is noted that the above decisions do not concern account restructurings of the following credit facilities:

(a) loans that fall under in any plan of the Central Agency for Equitable Burden Distribution and

(b) loans that may be included in the Hestia plan.

Depending on market conditions, as they will develop along the way, KEDIPES may terminate/vary the offer of the above products.

< iframe width='300px' height='500px' src='https://www.adstorebluebird.cy/api/banner/ServeBanner?zoneId=2734' frameborder='0' scrolling='no'>

Source: www.kathimerini.com.cy

- Advertisement -AliExpress WW

More articles

- Advertisement -AliExpress WW

Latest article