Published: 2015-04-11
Key Benefits:
Passed 02.04.2015 Annex 3
This Decree is established on the basis of subsection 83 (21) of the Credit Institutions Act.
Eesti Pank Governor’s Decree No 17 of 12 December 2014 “Limits on granting housing loans and maximum loan maturity” is amended as follows:
1) in the preamble of the Decree, reference to subsection 83 (2) of the Credit Institutions Act is replaced by reference to subsection 21 of the same section;
2) subsection 4 (4) of the Decree is supplemented by the second sentence with the following wording:
“Loan payments payable together with another person shall be taken into account pro rata to the borrower’s obligation to pay the loan payments.”;
3) the following subsection 51 is inserted in section 4 of the Decree:
“(51) When calculating the amount of loan payments, as the maturity of the housing loan it is allowed to consider, instead of the maturity of the loan specified in the loan contract, also the deadline up to which – according to the loan contract – the borrower is entitled to extend the fulfilment of the obligation of the loan repayment.”;
4) section 5 of the Decree is amended and worded as follows:
Ҥ 5. Maturity of the housing loan
The maximum contractual maturity of a housing loan contract may be 30 years as of the first day of the third calendar month following the month when the loan amount (or, in the event of granting the housing loan in instalments, the first instalment of the loan amount) is granted to the disposal of the borrower.”;
5) section 6 of the Decree is amended and worded as follows:
Ҥ 6. Limit for permitted exceptions
Exceeding the limits specified in section 3 and/or 4 of this Decree and/or for a longer maturity than set forth in section 5, a credit institution may issue up to 15% of the total amount of loans issued under new housing loan contracts entered into within one quarter.”
Ardo Hansson
Governor
