A representative example of a Home Loan

Typical example of a Home Loan hereinafter the loan, based on an amount of €200,000 at a variable interest rate of 3.5% per annum, the Annual Percentage Rate Charge (APRC) would equal 3.56% per annum. The loan would be repayable through 480 equal monthly instalments, i.e. a period of 40 years. Each monthly instalment would equal €780.62.
The total sum payable throughout the term of the loan will be €374,797.60. This sum constitutes of:

• €200,000 capital (the loan amount)
• €174,697 interest
• €100 processing fee

A processing fee equal to 0.25% of the loan amount minimum €100 will be collected at the time of issuing the sanction letter. Once the contract has been signed, this amount will then be partially refunded (the bank will only retain €100 as a processing fee).

Assumptions in the above calculation

Kindly take note of the following assumptions made with regards to the above calculation:
The APRC calculation is based on the following assumptions:

• The consumer lending bank base rate, which is currently 2.25%, remains unchanged throughout the period of the loan.
• The facility is fully utilised within the first 3 months of being sanctioned.

Additional information on Home Loans

Kindly take note of the general conditions laid out below:

• Bank legal fees (0.325% of the loan amount + VAT) will be waived for first-time and second-time home buyers
• The consumer has the right to pay the loan in full or in part before the agreed termination
• In the eventuality that the loan is either fully repaid or reduced by an amount of 30% or more within the first 3 years, refunded/waived bank fees will become due
• The credit agreement is to remain valid for the period agreed between the Bank and the consumer, and both parties must agree to fulfil their obligations under the term and dates specified by the credit agreement

Life and property insurance are obligatory in order to obtain the loan. The loan is to be secured by a first ranking general and special hypothec and special privilege over the property being financed in Malta, a first ranking pledge over a life assurance policy covering the whole loan amount and a buildings insurance policy for the replacement cost of the property being end-financed. In the event of non-observance of the terms and conditions, including non-adherence to the loan repayments, the bank may take steps to sell the property financed, following legal proceedings, and you may lose the property.

Approved and issued by APS Bank plc, APS Centre, Tower Street, B’Kara BKR 4012. APS Bank plc is regulated by the Malta Financial Services Authority as a Credit Institution under the Banking Act 1994. Applications are subject to the Bank’s lending criteria. Terms and conditions apply and are available on request.