Launch of the APS Green Home Loan

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With the launch of its Green Home Loan, APS Bank offers the best mortgage loan offer on the market while making the strongest possible statement on its sustainability program.

The New Home Loan offers a discounted fixed interest rate of 1.00% per annum for the first 5 years of the loan term to those purchasing residential property with a low Energy Performance Certificate (EPC) score. Eligibility is for clients who take out a new home loan as well as those who wish to shift their current home loan to benefit from the reduced terms.

Liana Debattista, Strategy Director at APS Bank, said: “We are proud to lead the way in bringing such a green home loan to the market. This product is fully in line with our commitment to support sustainable and environmentally friendly practices, which is at the heart of the Bank’s mission.

If you would like to learn more about APS Green Home Loan, please contact us to set up an appointment with our Customer Service Managers at one of our branches in Malta and Gozo. Please bring the EPC of the property you wish to purchase with you to the appointment, to confirm that the certified rating is within the eligible range for the APS Green Home loan.

A representative example of the APS Green Home loan On a fully utilized APS Green Home loan of € 150,000 at a fixed loan interest rate of 1.00% per annum for the first 60 months and an interest rate of variable loan of 2.90% per year for the remaining 420 months, the Annual Percentage Load Rate (APR) will be 2.33% * pa The loan will be repayable in 60 equal monthly installments of 380.27 €, followed by 420 monthly installments equal to € 512.78 over a period of 40 years.

The total sum payable during the entire term of the loan will be € 238,333.80 (i.e. a capital of € 150,000, interest of € 88,183.80 and administration fees of € 150).

* The calculation of the APR is based on the following assumptions: The bank base rate for consumer loans (currently at 2.25%) remains unchanged during the variable interest period of the loan. No early loan repayments are made for the first 60 months and the loan is repaid as scheduled for the life of the facility. The installation is used in full in the first 3 months after being sanctioned. Processing fees (0.25% of the loan amount) will be collected at the time of issuance of the sanction letter and will be fully reimbursed upon signature of the contract. Bank legal fees (0.325% of loan amount + VAT) will be waived for first time home buyers. The credit agreement must remain valid for the period agreed between the Bank and the consumer, and that both parties will fulfill their obligations under the terms and on the dates specified in the credit agreement. The calculation of the APR is based on the total cost of credit to the consumer, expressed as an annual percentage of the total amount of credit.

The example worked does not include the following elements because these costs cannot be determined in advance: A life insurance policy covering the amount of the installation and a building replacement policy which are to be pledged in favor of the Bank and a periodic update of research since these fees would entail public registration and land registration fees.
Life insurance and home insurance are required to obtain the loan. The loan must be secured by a general and special first mortgage and a special lien on the property financed in Malta, a first collateral on a life insurance policy covering the entire loan amount and a policy of building insurance for the cost of replacing the property being funded upon completion. In the event of non-compliance with the conditions, including non-compliance with loan repayments, the Bank may take steps to sell the financed property, following legal proceedings, and you could lose the property. The total sum payable during the entire term of the loan if the fixed rate was not available would be € 255,428.40. The fixed rate of the APS Green Home Loan could save up to € 16,944.60 in interest.

Approved and issued by APS Bank plc, APS Center, Tower Street, B’Kara BKR 4012. APS Bank plc is regulated by the Malta Financial Services Authority as a credit institution under the Banking Act 1994. Applications are subject to the Bank’s loan criteria. The general conditions apply and are available on request.


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