K&H home loans

When you choose a long interest period, the interest rate risk is typically lower.

In case of a longer interest period, the responsibility of the interest rate risk belongs to the Bank.
Therefore, a longer and more expensive interest period can be interpreted as an insurance against unfavorable (and favorable) future interest rate changes.

Whether you choose a fixed or floating rate loan can also be influenced by legal conditions. The aim of the legislation is to enable the borrower to become indebted to a lesser extent with a risky loan (variable interest rate).

Furthermore, the maximum amount of credit that can be taken out depends on the income and the chosen interest period. The aim of the governing legislation (MNB Decree 32/2014 (IX.10.)) is to avoid over-indebtedness.

In the table below, you can see how much of the certified income can be spent on loan installments, at the given income level, and based on the interest period of the loan you intend to borrow. 

So your decision can be greatly influenced by the statutory requirement for the burden of income and how important it is for you that the interest rate does not change over the term.
Available options: 5 years or 10 years, during which the repayment installments are unchanged.

In case of fix rate for 5 years, 10 years or fixed for the whole term while the repayment instalments are unchanged within the chosen term.

Our loans have received (except K&H green mortgage) the Qualified consumer-friendly rating.

With the K&H repayment-reducing loan, customers with an immediate repayment history can redeem their forint- or foreign currency-based real estate-backed loans provided by any bank. By switching, they can also save significant amounts compared to the current monthly installment (if the conditions of the loan to be redeemed are less favorable than recommended).

fee discount conditions

In our current promotion, the following up-front costs are waived, refunded, or paid by the Bank for loan applications accepted:

• the notarisation fee is refunded (up to HUF 40,000) if you have a K&H “kényelmi”, “maximum” or “kényelmi plusz” account package and keep it for five years from contracting, or if you open a new K&H “kényelmi plusz” or K&H “prémium” account and service package and keep it for five years from contracting
• we refund the entire fee charged for appraisal / technical inspection (for one property real estate, for the first time)
• we pay the price of obtaining a title deed and any map extract required for the appraisal / technical inspection (up to two title deeds and one map extract for one property, provided that these documents can be downloaded from the TakarNet system)

The following discounts are also available concerning up-front fees:

• the entire contracting fee is waive
• we pay the price of obtaining a title deed and any map extract (up to two title deeds and one map extract for one property, provided that these documents can be downloaded from the TakarNet system)

The fees and costs waived or paid by K&H Bank must be paid by the borrower if the loan is fully prepaid or terminated within two years from contracting (or within a shorter loan term) for a reason not attributable to the Bank, or if the repayments are made from any other account than the Client’s retail bank account with the Bank.

interest discount conditions

• 0.1% discount from the transaction interest if you have or take out K&H home insurance for the real estate securing your loan, and maintain that insurance during the entire term (except for loans with an interest rate fixation of more than 10 years).
• K&H life insurance or K&H mortgage insurance discount 0.2% discount on the transaction interest. You must have K&H life insurance, K&H life insurance with a credit protection clause or K&H mortgage credit protection insurance and pay the premium until the end of the term. If you have no regular-premium K&H risk life insurance but want this discount, then you need to take out K&H risk life insurance (with a loan collateral clause), maintained until the end of the term.
• Home insurance and risk life insurance interest rate discounts are exempted for loans with an interest rate fixation of more than 10 years.

The interest rates might be combined, but the final interest rate cannot be lower than the minimum interest rate described in the Announcement.

The above interest discounts are not available if the installment account is any other than the client’s retail bank account with K&H.

additional benefits during the term:

• free interest period change during the term in the interest change period
• free prepayment option up to twice a calendar year, with a maximum amount of two monthly installments per year, up to a maximum of one monthly installment in case of prepayment twice a year
• there are no additional monthly fees (such as handling fees) in addition to the transaction interest
• with an extension of the term, the repayment may be further reduced

text message notification about the loan application status

Take advantage of this new service to keep notified of the status of your application. Follow up the procedure so that you can schedule your arrangements related to the transaction. And the service is free of charge, too!

A text message is sent to your mobile phone about the following events:

1. appraisal ordered
2. application approved
3. loan agreement drafted
4. loan disbursed