We want the situation to be clarified - both the client and the bank should know exactly under what conditions it is possible to repay the loan early, currently the law can be interpreted in different ways
it is already possible to repay up to 25% of the mortgage free of charge each year on the anniversary of the signing of the contract, i.e. the entire loan can be repaid in 4 years, regardless of the length of the agreed fixation or the duration of the loan
it is already possible to repay the loan free of charge at the end of the interest rate fixation
in difficult life situations it is already possible to repay the entire mortgage free of charge
to the list of life situations with free early repayment, the new proposal will add divorce and sale of the property (after 2 years from purchase)
The APR will be calculated as the difference between the reference lending rate set by the CNB and the contractual interest rate until the end of the fixation period
the bank will charge a maximum of 2% of the principal repaid early -> for 1 million it is CZK 20,000
if the client has fixed the interest rate for 10 years in times of low interest rates, the bank will keep the interest at the agreed level, even if interest rates on the market have risen in the meantime
the current situation of being able to terminate a mortgage contract with minimal costs just for taking advantage of the market situation thus brings a very uneven playing field between the client and the bank in the mortgage market
the costs associated with early repayment have been paid here, perceived as standard, until the CNB's opinion, which is still pending before the Administrative Court (we are waiting for it)
it is neither lost profit nor unjust enrichment for the banks, but the difference from reallocation
it is not only the financial costs caused by the eventual fall in interest rates on the financial market between the granting of the loan, the end of the fixation period and the early repayment. It is also the considerable administrative burden that early repayment of the loan imposes. If consumers were to take advantage of this every time rates fall, it would place significant demands on the administrative power and processing time of the credit provider

Costs incurred for early repayment of a mortgage