Are you looking for a housing loan, but at the same time worry about a possible increase of interest rates, which may suddenly affect your family’s financial plans?
Would you like to know for sure your monthly payments, but are hesitant to commit to a long term fixed rate?
For you, Alpha Bank created Alpha Protection, a housing loan which offers protection from possible increases of interest rates and at the same time allows you to benefit from possible reductions, since there is no lower limit.
What does Interest Rate Protection mean? ┴lpha Protection offers you a pre-determined maximum increase limit of your variable interest rate up to 2 percentage points from your initial variable rate for a period of 5 or 7 years from the start of your loan. This means that no matter what the increase of the Euribor, the variable interest rate of your loan will not increase more than 2 percentage points for the term of the protection period.
Double Protection ┴lpha Borrower Insurance is a specially designed plan which assures the smooth repayment of your loan against unforeseen events. Even if you are temporarily out of employment (due to involuntary unemployment or temporary disability due to accident or illness), the plan will cover up to 6 installments per event and up to 18 installments for the entire duration of the loan, up to a maximum monthly amount of Euro 1.500. This way, your loan is double protected!
Initial Low-Start Period At the start of the loan, you can select a grace period of up to 2 years, during which you can pay only the interest of your loan.
Alpha Protection Interest Rate Variable rate*, based on the 3-month Euribor rate plus a margin from 3.50%, with a maximum increase limit of 2 percentage points.
The increment of the variable interest rate depends on the duration of the interest protection period (5 or 7 years) and the ratio of the Loan to the estimated value of the property.
At the end of the protection period, your interest rate remains variable with the same margin, while you get the additional option to choose one of the then available fixed rates
(*) Plus contribution of Law128/75
Amount and Term of the loan ďhe general rule is a 75% financing limit of the value of your property, with a minimum of Euro 50,000. You can choose a term for up to 40 years.