The Order In Which Families With Children Shall Provide A Guarantee On A Loan, Accommodation (Housing) To The Acquisition Or Construction Of
Original Language Title: Kārtība, kādā ģimenēm ar bērniem sniedz galvojumu aizdevumam dzīvojamās telpas (mājokļa) iegādei vai būvniecībai
Read the untranslated law here: https://www.vestnesis.lv/ta/id/115555
Cabinet of Ministers Regulations No. 608 in Riga, 16 august 2005 (pr. No 46 37) order in which families with children shall provide a guarantee on a loan, accommodation (housing) to the acquisition or construction of Issued under Cabinet installations article 14 of the law of the first subparagraph of paragraph 3 1. determines the order in which families with children (hereinafter borrower) gives a guarantee on a loan, accommodation (housing) to the acquisition or construction of (guarantee).
2. The guarantee shall be issued and administered by the State joint stock company "Latvian mortgage and land bank" (hereinafter referred to as the mortgage bank).
3. the mortgage bank may issue a guarantee if: 3.1 mortgage loan (the loan) is registered in the Republic of Latvia shall be issued by a credit institution or financial institution (hereinafter lender) that has entered into a cooperation agreement with a mortgage bank and is entitled to issue loans;
3.2. the purpose of the loan is the living space (dwelling) acquisition or construction.
4. Mortgage bank under the guarantee conditions (annex) guarantees issued after: 4.1 the lender grants a loan or stated in writing that the loan will be granted;
4.2. the mortgage bank has received the guarantee application accompanied by at least one minor child's birth certificate.
5. Mortgage bank within five working days of the appearance that the guarantee referred to in point 4.2 the application and accompanying documents, and shall take a decision on the issue of a guarantee or refusal to grant the guarantee.
6. Within two working days, following these rules referred to in paragraph 5 of the decision of the bank shall send the Mortgage Lender a copy of the decision.
7. The guarantee is not given if: 7.1 the bank has not filed the mortgage this provision 4.2. documents referred to;
7.2. the lender grants a loan other loan repayments;
7.3. the mortgage bank has not received the rules referred to in paragraph 12 of the fee for the issuance of the guarantee.
8. the amount of the guarantee shall be expressed as a sum of money in the currency in which the loan is. The borrower pays off the loan, the amount of the guarantee granted to reduce the loan principal repaid on the part. The original guarantee shall be determined using the following formula: l = A – G – 0.75 x V where the amount of the guarantee;
A-the amount of the loan granted;
V – accommodation (housing) the mortgage value.
9. The rules referred to in point 8 of the guarantee amount shall not exceed 15000 dollars or equivalent of this amount in another currency.
10. The guarantee shall be issued for a period not exceeding 10 years.
11. The borrower pursuant to these rules may receive only one guarantee of one living space (dwelling) acquisition or construction.
12. On the issue of the guarantee is fixed one-time fee of 2.5% of the amount of the comprehensive guarantee is granted. Borrower or lender paid mortgage bank.
13. the mortgage bank on a quarterly basis, but not later than 25 January, 25 April, 25 July and 25 October submitted to regional development and Municipal Affairs Ministry review of the guarantees issued.
Prime Minister a. Halloween regional development and Municipal Affairs Minister, Minister of finance Spurdziņš o. Editorial Note: rules come into effect with the 2005 September 2.
Annex a Cabinet of 16 august 2005, regulations no 608 guarantee conditions 1. Guarantee is considered as additional collateral, and it does not exempt lenders from the risk of possible damages and fulfilment of the obligation.
2. Loan interest, fines, penalties and other charges or expenses incurred by the lender, is not compensated for by the contract of guarantee.
3. The lender and mortgage bank, a co-operation agreement, it provides for the obligation to submit the Mortgage lenders in the bank signed the loan agreement and other loan-related copies of the contracts, assuring compliance with the original.
4. The guarantee is void if: 4.1 the lender provided the mortgage bank of false information that affected the decision on the granting of the guarantee;
4.2. the borrower has not paid the fee for the issuance of the guarantee;
4.3. the lender assigns the claims arising from the loan rights to a third party;
4.4. the lender violated the terms of the cooperation agreement and the month following receipt of written notice from the mortgage bank does not resolve;
4.5. the borrower has repaid the loan.
5. a procedure for the provision of guarantees as well as other guarantees the provision of related questions that are not regulated in this annex, the mortgage bank and the lender agree cooperation agreement. Cooperation agreement may provide additional loan eligibility criteria if they reduce with the provision of the guarantee, the associated risks, and not inconsistent with these conditions.
6. Borrower's outstanding loan principal part by the mortgage bank pays the lender under the guarantee agreement (hereinafter referred to as the compensation), payable in the currency of the loan.
7. The lender may require the payment of compensation if it is turned to the borrower with the claim for payment of the loan agreement, but that requirement within the time limit set by the lender is not satisfied, so the lender has requested all the obligations specified in the loan agreement.
8. Compensation to the lender before mortgage marketing mortgage bank submitted the application for payment of the refund and provide mortgage bank to accept an assignment in the borrower's liabilities. The cost of the refund application form, content and procedures for submitting a mortgage bank and lender agree cooperation agreement.
9. If a mortgage the bank refuses to accept the obligations of the borrower, the lender collects the loan assignment and enforce the pledge. Mortgage bank lender paid compensation only if the funds obtained by the recovery of the loan and mortgage sales, is not sufficient for the loan principal.
10. Starting with the day when the lender submits an application for payment of the compensation, the loan for which the compensation is to be paid does not calculate penalties and other penalties for similar charges.
11. upon receipt of refund are obliged to inform the lender's mortgage banking on the recovery of any payment to be routed to the obligations of the loan.
12. From the borrower recover the funds, which are obtained by the payment of compensation, divided between a lender and a mortgage bank in accordance with the conclusion of the cooperation agreement. The lender is obliged to transfer the recovery may mortgage bank in the currency in which the compensation paid.
13. the mortgage bank regulations in the order is entitled to receive from the borrower's full damages paid in compensation.
Regional development and local Government Minister, Minister of finance Spurdziņš o.
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