Variable Interest Rate: If you expect interest rates to decrease and you want your loan installments to be updated accordingly. You can choose Variable Interest Mortgage. Your loan interest is selected every month or every 3, 6, 12 months depending on your preference. The CPI (Consumer Price Index) announced by TURKSTAT in the month before the current month is automatically updated according to the Bank’s current. Variable Interest Mortgage interest rate calculated based on the annual percentage change rate.
Variable Interest Rate Specifications
- You can use your credit in USD.
- You can term your loan up to 240 months.
- The current Variable Interest Mortgage interest rate announced by the Bank is valid.
- You can use up to 80% of the appraisal value of the house you will buy.
In case of early payment, the “early payment compensation” application is not valid for the amount paid.
As a guarantee, the mortgage of the house you purchased is sufficient. Although the guarantor condition is not required in general, our branches can request a guarantor if necessary.
It can only be used for “residential” reception and by natural persons.
What is the Difference Between Fixed Loan Interest and Variable Loan Interest? Variable Interest Rate
Perhaps this is one of the most challenging situations for those who want to use credit today. Is it fixed or variable? Yes, you should be able to make predictions about the economy of the country by examining and researching like an expert on what product to choose. We can say that someone who will get a housing loan is more interested in his own economy than the country’s economy. But still knowing the difference between constant and variable, making right decisions can save you.
You are always charged at the same interest rate for fixed interest loan. You will see that the loan debt you pay increases regularly every month. However, there is no increase in the interest rate. In other words, if your debt is charged at 2 percent interest rate in the first month, the interest rate will not change in the second month. However, this is not the case with variable interest. If the country’s economy goes steadily, the decreases in the CPI index will decrease its interest rates. This may cause your borrowing figure to decrease every month. But there is another risk. If the country’s economy experiences fluctuations, there may be an increase in interest rates. In this case, you can pay a lot of debt. In fixed interest, even if there are fluctuations in the country’s economy, there will be no change in your loan interest rate.
Fixed loan rates are not subjected to a downward fluctuation in interest rates in the face of improvements in the country’s economy. However, in this case, the borrower can apply for refinancing and go back to the interest rate with his bank. Those who use credit should also consider this situation. Then, obtaining a fixed interest loan becomes more valuation. Because while they are not harmed in any increase, they can make a re-agreement with their banks thanks to “refinancing” when interest rate decreases occur. However, I would like to say that this situation is left to the initiative of the bank.
Variable Interest Rate How Come
I expect a drop in interest rates, so I want my credit rate to be updated regularly over the term. Even if there are fluctuations of interest occasionally, it does not bother me.
Waiting for the interest rates to decrease in the coming period and if you want your loan installments to change accordingly, Variable Interest Mortgage is for you!
With Variable Interest Mortgage, your loan interest rate is calculated every 1, 3, 6 or 12 months according to your preference, according to the Bank’s current Variable Interest Rate Mortgage interest rate calculated on the basis of the annual rate of change of the annual CPI (Consumer Price Index) announced by TURKSTAT. automatically updated according to.
Variable Interest Rate