The world's local bank
Most probably your home will be the biggest investment you will have ever made. If you have owned your property for a long time (your home or summer residence), it is likely that your home is now worth much more than the amount you have borrowed against it. The difference between the value of your home and the outstanding loan is known as the equity.
You can use this equity as security to borrow from the bank. If the amount you need to borrow is substantial it may prove difficult for you to afford the monthly repayments on a 5-year Flexicredit.
With a Maxicredit Loan you can borrow using your property as security. Maxicredit may be used to purchase a vast array of items which may include:
-
improvements to your home
-
a new car
-
a plot of land
-
a boat
-
an investment
-
education costs overseas.
What are the benefits of Maxicredit?
-
Because the borrowing would be secured by the equity in your home, the Maxicredit Loan would attract a lower rate of interest than the Flexicredit rate of interest.
-
You may borrow from a minimum of €5,000
-
You may repay the loan over a maximum of 25 years (up till the age of 65).
-
Softer monthly repayment amount making it more affordable.
-
There are no penalties for making extra monthly payments.
How much can I borrow?
You may borrow from a minimum of €5,000 or more; but this depends on the level of your income, the value of your property and the amount of loan still outstanding on your home.
Variable Interest Rate
At present our interest rate is 2.25% over the Bank's base rate which is currently 3.95%. This works out to an effective interest rate of 6.20 % per annum.*
*Typical APR for a loan of €50,000 repayable over 10 years - 6.70% p.a. (effective rate).
Fixed Interest Rate
Fixed Interest Rate Maxicredit is available from any HSBC Bank Malta plc branch or on Customer Service 2380 2380
When taking out a Maxicredit it is important to give some consideration to the effect that interest changes will have on your budget.
With a Fixed Interest Rate Maxicredit the interest rate will remain the same during the fixed rate period.
What documents do I need?
To apply for Maxicredit you need:
-
Your latest payslip and FS3.
-
An architect’s declaration detailing the value of your property. Click here to download a copy of this form in PDF format.
-
Your identity card.
