Mortgage interest rate reduction application: features, requirements and sample

The possibility of reducing mortgage rates is one of the urgent issues for borrowers who entered into agreements several years ago before reducing the percentage of refinancing of the Central Bank of the Russian Federation. After taking this measure, banks were offered to underestimate the tariff, but in reality the difference is 3-5 points or more. The reduction in the current mortgage rate is described in the article.

Who can I contact?

Write an application to reduce the interest rate on a mortgage in a bank offering favorable conditions, borrowers have the right to open agreements. The reasons include the following factors:

1. The appearance of the child and the appearance of additional spending.
2. Deterioration of financial condition, change of work, change in health status.
3. The desire to pay the loan ahead of schedule on favorable terms.

After applying for a reduction in the rate on the current mortgage, a decrease in the monthly payment or a change in the amount may occur, which will favorably affect the payer's financial condition.

Rate Reduction Types

How to reduce mortgage interest? There are several types of procedures with their own conditions and requirements. Customers can choose the most suitable type for themselves. Known options for reducing mortgage interest rates:

1. Refinancing. This is a complex procedure in which a mortgage agreement is signed on new terms. The transaction is reissued by one bank, but you can contact another financial institution.
2. Restructuring. The procedure is executed upon the conclusion of an additional agreement to the main contract when the interest rate on the loan program is changed in the bank where the security is provided. The document indicates the agreement between the financial institution and the client on the effect of the new conditions for payment of interest and recalculation of the contract assessment and payments.
3. The use of social support. A certain amount of the mortgage is paid due to state funds, for example, under the Young Family or Housing program. It is possible to make the presented financing in the account of the first payment, which is necessary to reduce the rate.
4. Appeal to the court. If the client finds out that some conditions on the mortgage, including the allocation of interest for the use of money, do not comply with the law and the rules of the Central Bank of the Russian Federation, or if violations are made with the calculation, you can go to court. To do this, a statement is drawn up to reduce the interest rate on the mortgage or change the terms of the transaction.

Statement

A sample application for reducing the interest rate on a mortgage is presented in the article. On it and you need to draw up a document to any bank. In the application for lowering the interest rate on the mortgage, the cap in the heading fixes to whom the appeal is intended, personal data (full name, passport data, registration, contract number).

The main part indicates the request to reduce interest on a certain agreement (number and date of its preparation) for a specific reason, for example, due to a drop in mortgage rates. The application for reducing the interest rate on the mortgage indicates the method by which it is desirable to notify the decision:

1. By mail.
2. Personally at the bank branch.
3. By email.
4. SMS

At the end of the application for reducing the mortgage rate, Sberbank or any other bank must indicate the full name, phone number, signature and date. The bank will consider the application, and then a decision is made.Due to the large number of receipts of such applications, the answer may not come immediately. Typically, the maximum period is no more than 30 days from the date of filing an application for a reduction in mortgage rates at Sberbank or another financial institution.

Conditions

How to reduce the interest rate on the current mortgage? To do this, it is important to observe some conditions:

1. The duration of the contract is from 4-6 months, in each institution it is different.
2. No delays, non-payments throughout the entire period.
3. Availability of confirmation of solvency.
4. Positive credit history.
5. The possibility of attracting a guarantor or co-borrower.
6. The liquidity of real estate, the absence of claims from past owners.
7. Consent of spouse.
8. The absence of registered children in the amount of the deposit.

The new interest applies to the balance of the contract and debt. Recalculation for the full period is rare.

Contract procedure

To reduce the rate, events can develop in 3 ways:

1. Notification of the bank’s customers by the founder about a change in the conditions of the mortgage when providing a favorable regime. Messages are sent to telephones, but notifications may be sent to email or postal addresses. Often, this newsletter is massive, but there are situations of bank loyalty to a specific borrower who regularly makes payments for a long time under the old conditions.
2. If the borrower finds out about the possibility of reducing the rate based on program changes. Then the initiative lies with the client. He needs to apply to the management of the organization, and then get a decision, sign an agreement on a mortgage agreement or an agreement on amended conditions.
3. The client analyzes the mortgage situation in the region. If there is a decrease in interest rates in other banks, then he can apply for refinancing.

These are the main options for how to lower the mortgage interest rate. Each procedure requires competent clearance. Only then will it be valid.

Conditions at Sberbank

Is it possible to reduce the percentage if the loan is issued at Sberbank? This procedure is performed on its own terms. This institution has a program "Refinancing". The rate on it is 13.9%. If earlier the contract was drawn up at 15%, then using the procedure it will be possible to save 1.1%. For example, with a loan of 2 million rubles, the benefit will be equal to 220 thousand rubles.

On this scheme, loan re-lending to VTB24 works if a new agreement is drawn up at Sberbank. Possible re-lending for restructuring. Both a decrease and an increase in the term for paying a debt are likely provided that the rate is reduced at Sberbank.

Mortgage state programs

Mortgage with state support is an opportunity to purchase housing on favorable terms. Sberbank is one of the institutions that implements this program. According to it, borrowers can reduce the percentage before the conclusion of the contract. In this program, bets start at 10%. Usually this is 0.5% less than the main percentage of a standard mortgage. Attractive conditions are offered:

1. To young families.
2. Military personnel.

If the borrower can attract maternal capital, then this also serves as a reason for reducing the rate. The following requirements are imposed on customers:

1. Age - from 21 years.
2. Availability of verified income.
3. Official work.
4. Work experience - from 5 years.

These requirements are considered universal, they vary depending on the program.

Electronic registration

Like the previous option, electronic registration will help reduce the rate before the transaction is concluded - by 0.5-0.7%. The exact size is assigned individually. Such transactions are not available to everyone. They can use:

1. When buying an apartment.
2. When acquiring plots on which there is no real estate, if the first ownership is registered after 1998.
3. If participants are over 18 years old.
4. Representatives are not involved.
5. Participation is not more than 2 buyers and 2 sellers.

More detailed information about this service can be obtained from bank specialists.

Personal insurance

This option is suitable for those who refused personal insurance during the execution of a mortgage agreement. Life and health insurance is voluntary. But Sberbank is not quite loyal to those who do not want to take out comprehensive insurance.

For these customers, the base percentage increases by 1 point. For example, if the minimum rate is 10%, then if you refuse insurance, it will be 11%. To reduce overpayment, you need to be insured. Companies that provide these services can be found on the website of Sberbank or in a branch.

Salary Clients

If there is a Sberbank salary card, then the client has advantages. If it is not, then the rate rises by 0.5%. If the card was issued after signing the documents, then you need to submit an application to Sberbank, where this fact should be indicated. The application will be considered, and if the decision is positive, the rate will be reduced.

Promotional Offers

This is another way to reduce the rate at Sberbank. Promotional offers are initiated by partner developers, as well as by the institution itself. Their list can be found on the official website.

Typically, offers appear before the holidays, significant dates. Shares have a limited duration. For those wishing to participate, special conditions are established that differ from the usual mortgage.

Advantages and disadvantages

Renewal of documents on a mortgage with the possibility of reducing the rate does not need to be postponed, as this will reduce the financial burden on the client under the conditions:

1. Recalculation of the entire amount.
2. Payment reduction.
3. Reduced insurance.
4. Reducing the period of validity of the document and payment of debt.

But in this service there are also disadvantages:

1. It is necessary to conduct a secondary assessment of the collateral object by the company, which is why additional expenses are needed.
2. Fees are set by the new bank. Their size may be different in each financial institution.

Reasons for refusal

With the help of the rate, the bank covers the risks. If the borrower regularly pays for its obligations, does not miss payments, has stable earnings and a positive reputation, then such a client is unlikely to be refused a rate reduction. But refusal follows with low payment discipline.

Banks take into account various factors. The amount of the balance matters. If the client paid about 98% of the debt, then making changes would be inappropriate. If you refused the bank where the mortgage is registered, then you should not be upset. Borrowers have the right to apply to other institutions for refinancing. It will turn out to choose the most attractive loan conditions.

Recommendations

When executing the procedure for reducing interest, the following tips should be considered:

1. It is important to familiarize yourself with the consequences of changing conditions. Information provided on request from electronic calculators online on official websites is not always valid. During the calculation, the conditions for paying commissions are usually not taken into account, insurance is counted at the minimum rate with an incomplete set of services, and they are not taken into account in the amount of the cost of the secondary assessment of the object. You can find out these details and tariffs after contacting the bank.
2. To reduce the rate for a new document, it is possible to use additional methods that guarantee payments, for example, attracting guarantors, co-borrowers.
3. To reissue a mortgage agreement at a reduced rate, it is advisable to contact the bank where the salary project is provided or other payments are made to the borrower or there are active deposits. It will be easier to conclude a more profitable contract with this organization.

Thus, customers are entitled to lower rates on a mortgage agreement in several cases. This procedure reduces the financial burden, so paying the balance will be much easier.