Is the transfer of home credit free of charge?

How does the housing credit transfer work?

The first step to carry out a home loan transfer is to communicate to your bank that you are dissatisfied with the current terms of the contract. The bank may suggest renegotiating and offer you a new proposal, providing a discount on the spread if you contract new products, such as a credit card, for example.  

On par with negotiating with the current bank, to understand if it is possible to have better conditions in another bank, you can request proposals from other banking institutions based on your property and outstanding capital.  

From there, you can compare the proposals on the table: from your bank and from competitors. If you have a proposal from a different bank that makes more sense for you, where you can achieve greater monthly savings, consider transferring your mortgage credit.

Is transferring home loan credit worth it?  

With a mortgage transfer, it may be possible to have a lower spread, and change the interest rate regime, which can reduce the total loan amount. But to have a lower spread, for example, you may be subject to other conditions, such as salary domiciliation, hiring a credit card, and subscribing to the required insurance at the bank's associated insurer. Depending on the insurer and the conditions of the new insurance, you may significantly reduce the amount you pay for them, and consequently, the monthly credit installment.

Currently, it may also be worthwhile to make a credit transfer if you have a variable interest rate on your loan, indexed to the Euribor. This is because the fixed interest rate regime, or even mixed, is currently lower than the variable one. However, as soon as interest rates drop again, this situation will reverse.

You should be aware that, depending on the bank where you have your mortgage contracted and the bank you are considering transferring to, there may be costs associated with the process. Let's see which ones.

Is mortgage credit transfer free?

As a rule, the costs of transferring a mortgage are covered by the bank, and not by the client themselves.

However, there are banks that pass certain costs on to the customer, so this process is not 100% free in all entities.

So, specific costs always depend on bank to bank and the mortgage contract.

What costs can it have?

You should be aware that some banks have associated costs with the credit transfer process, such as:

• Early repayment commission (maximum of 0.5% of the repaid capital if the interest rate is variable, and a limit of 2% of the repaid capital in the case of a fixed interest rate);
• Cost with a new deed;
• Commissions related to the process opening;  
• And cost with a new property valuation.

The value of these costs is variable, and may or may not be high. Therefore, you should pay attention to bank campaigns for housing credit transfers without costs, partially or fully.

Therefore, to understand if it is worth transferring your housing credit, it is important to do the math on the monthly amount you will save, compared to the costs you may have with the process.

If you need to know more information, especially about your specific case, you can turn to a credit intermediary like those from Poupança no Minuto. Through a personalized and free service, they accompany you throughout the process, from comparing proposals from various banks, to making the final decision that is most suitable and beneficial for your family.

💸 Do the free simulation now and find out how much you can save with credit transfer!