Consumer loan with a fixed interest rate for the first year

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Advantages

• Fixed monthly loan payment for the first year in a rising interest rate market;
• Free„Life insurance“;
• Bonus to an approved consumer credit - credit card or credit overdraft with a pre-approved limit in the amount of two net monthly wages and no fee for credit analysis and collateral.

Parameters

Currency	BGN и EUR
Size	up to BGN 60 000 лева / EUR equivalent
Term	up to 10 years (120 months)
Annual interest rate	fixed interest rate for the initial period of one year at the rate of 5.90%; variable interest rate for the remaining period - min 5.90%. - Methodology of Municipal Bank AD for the formation of a variable interest rate on loans granted to individuals
Fees and commissions	for creditworthiness and collateral analysis- from BGN 20 to BGN 320 depending on the loan size; for renegotiation of terms - 1% of the outstanding principal; for an early repayment during the first 12 months of the loan term; 1% on the early repaid amount when the remaining period of the credit agreement is greater than 1 year; 0.5% on the early repaid amount, when the remaining period of the loan agreement is less than one year.
Collateral	1. Pledge on future receivables from income payments on an account with the Bank;         2. Pledge on receivables from cash held in an account with the Bank;        3. Suretyship by individuals at the Bank’s discretion.
Age of the loan applicant	Min. 20 years as of the date of the loan decision. Max. 65 years of age on the loan repayment date.
Repayment	Repayment schedule with equal (annuity) or decreasing monthly payments
Required documents	Statement - Request for a bank consumer loan; Identity document of the loan applicant, joint debtor, third obligated parties; Official income certificate, etc. documents proving the relevant income; Employer's consent to transfer remuneration to a current account at Municipal Bank AD; Statement of economic connectivity of the individual to other persons; Document containing information on the date of the loan agreement concluded with the other bank and the outstanding debt at the time of the refinancing request; Other documents at the Bank's discretion.

Representative example

Loan size	Interest rate	APR	Term	Monthly installment	Number of installments	Total loan costs	Total amount due
BGN 15 000	5.90%	6.49%	10 years	BGN 165.78	120	BGN 5 163.34	BGN 20 163.34

Fees, commissions and other costs included in the total loan costs:

• annual interest rate – 5.90%
• one-time creditworthiness and collateral analysis commission – BGN 270.

The example was prepared for a loan repayable in annuity installments

Documents

• Municipal Bank AD's Tariff for the interest rates, fees and commissions applicable to individuals
• Bulletin on the interest charged by Municipal Bank AD on transactions with individuals
• General Terms and Conditions for loans granted by „Municipal Bank“ AD to individuals
• Methodology of Municipal Bank AD for the formation of a variable interest rate on loans granted to individuals from 01.04.2023