New Decree-Law provides for renegotiation of home loans when the effort level reaches 36 percent or when there is a deterioration of five percentage points.
It is important to emphasize that for in order to measure the level of effort of each family, all expenses on various loans are taken into account, and not just a home loan.
If the effort level exceeds 50 percent, banks must submit a renegotiation proposal.
Joao Nuno Méndez, finance minister, explained that this revision could mean, as a decision, extending the term of a loan, consolidating loans, requesting a new loan or even lowering the interest rate for a certain period of time.
“There will be a clear condition: there can be no increase in the interest rate,” he stressed.
From the date of entry into force of this diploma
temporarily there will be no “penalty for early repayment of loans”the governor explained
briefing after the Council of Ministers.
With this measure in effect until the end of 2023, The government intends to “give some sort of weapon to people who want to change institutions, renegotiate conditions, or be able to use their savings to reduce their debt.”
The measures announced today are aimed only at loans intended for own and permanent housing and at a floating rate, in loans up to 300 thousand euros.
With these measures, the government intended to “cover as many situations as possible”. Minister of Finance at a press conference He also took the opportunity to appeal to “the activity and responsibility of banks”, stressing that the default on payments and the debt situation is not beneficial to anyone.
according to communiqué Council of Ministers this Thursday, financial institutions must “monitor the level of effort of clients who have permanent housing loan agreements with an outstanding amount of up to 300,000 euros”.
