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El blog de Maria

Your daily Spanish Law reporter. Have it with a cafe con leche. www.costaluzlawyers.es

Legal tip 139. Mortgage relief: is it of interest anymore?
Monday, September 14, 2009 @ 11:34 AM

Through the Official Credit Institute (ICO) there is the possibility of a temporary and partial deferral of the obligation to pay the 50% of mortgage payments in the period from March 1, 2009 to 28th of February 2011 with the following requirements:

I) At minimum of 500 euros a month and a maximum of 12,000 euros.
II) In favour of certain groups:

 
• Employed person in legal unemployment, being under this situation, at least during the three months immediately preceding the request and being entitled to unemployment benefits, contributory or non-contributory.

 
• Self-employed person who has been forced to stop his business, remaining in that position of termination for a minimum period of three months.

 
• Self-employed person stating full income lower than three times the monthly indicator Public Multiple Effect Income (IPREM), for at least three months.

 
• Be a survivor's pensioner on death occurred after the conclusion of the mortgage, and in any case, dated after September 1, 2008.

III) Holders of a mortgage established for the purchase of your habitual dwelling , which has been signed before 1st of September 2008 and for an initial amount not exceeding € 170,000.

 

 

IV) And that the Customer is not in arrears

The deferement of contributions is implemented through a contract between the client and the same credit institution which  was initially formalized the mortgage with, keeping the duration and conditions of the initial mortgage.

 

I am wondering if with the new prices of mortgages, due to fall of interest rates, these deferements are of interest anymore for variable interest mortgages

Any answers there?

 



End of summer by C.Fuentes2007 at Flickr.com

 

 



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