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Discover the key features of this mortgage
A mortgage with a variable interest rate, now with a fixed interest rate too.
- If you choose a fixed interest rate, you can switch currencies at any time; if you have opted for a fixed rate, your interest rate will remain fixed.
- If you choose a variable interest rate, the interest rate will be variable both when you take out the loan in euros and when you convert your mortgage to the currency you have chosen in the deed.
Who can request a currency change?
In order to request a currency change for your foreign currency mortgage, one of the following situations must apply:
- You reside in an EU country whose currency is not the euro.
- You have most of your assets or income in a currency other than the euro.
How do we calculate the interest if you switch currencies?
- If the rate is fixed, when you switch currencies, we calculate the fixed rate set for the new currency.
- If the rate is variable, the spread does not change; what changes is the reference rate established for the new currency.
Which currencies can the loan be converted into?
You can convert the loan into the currency of the country where you reside (if it is different from the euro), into the currency in which you earn most of your income or into the currency in which you hold most of your assets.
- Ask at your branch about the available currencies and the cost of changing the currency.
A specialised product requires personalised attention:
Talk to us and we'll do the numbers for you.
Ask us for a personalised offer – with no strings attached, of course.
Why choose Bankinter?
- Because we are one of the most sound banks in Spain and Europe according to the EBA's stress tests.
- And because many people have already chosen us for their foreign currency mortgage: We offer total transparency and expert guidance at every step of the process.
Your questions, and the ones almost everyone else asks, too.
If I take out a loan in a foreign currency, will it be in euros or in the currency in which I am paid?
The loan is initially recorded in euros, but you may subsequently convert it to the currency in which you receive your income, hold assets, or the currency of the country where you reside (if you reside in an EU member country whose currency is not the euro), provided it is one of the currencies permitted by the Bank.
Can I choose any currency?
No. We only offer this mortgage in a selection of currencies approved by our treasury department, provided that the currency is one of those permitted given your socio-economic circumstances. At the time the application is assessed, we will inform you (and subsequently in the pre-contractual and contractual information) of the currencies for which we will grant you conversion rights.
What will the cost of currency conversion be?
Ask about the cost of changing the currency at your Bankinter branch.
What exactly does “conversion right” mean?
This means that you can request at any time to convert your loan debt to the currency in which you receive your income or hold your assets, or to the currency of the EU country in which you reside, as stipulated by Law 5/2019. The change of currency will take effect from the next instalment.
What additional documentation do I need as a customer dealing in foreign currency?
Proof of income in the relevant foreign currency: documentation regarding your employment status in your country of origin or residence, as well as official translations, if applicable.
What happens if I stop living in the country where I receive my currency?
If you change your country of residence to an EU member state whose currency is not the euro and inform us, we will update the eligible currencies for which you are entitled to conversion.
Do I need to have a current account in the currency I am entitled to convert to?
This is only necessary if you wish to convert to that currency. To do so, you must hold an account in that currency.
Can I choose to take out a loan other than a foreign-currency loan?
The granting of this type of loan is governed by legislation and constitutes an inalienable right in the situations provided for in Law 05/2019. It is not subject to choice.
Información de interés
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The Foreign Currency Mortgage Loan is a product governed by Article 20 of LCCI 5/2019:
1. In property loan agreements that are in foreign currency, the borrower shall have the right to convert the loan into an alternative currency, in accordance with the provisions of this article. This alternative currency may be:
- a) the currency in which the borrower receives the majority of their income or holds the majority of the assets to be used to repay the loan, as indicated at the time the most recent solvency assessment relating to the loan contract, or
- b) the currency of the Member State in which the borrower was resident at the date the loan contract was undertaken or is resident at the time the conversion is requested.
The borrower shall choose one of these two alternatives at the time of requesting the change.
The exchange rate used for the conversion shall be the prevailing exchange rate on the date the conversion is requested, unless otherwise stipulated in the loan contract. For these purposes, and unless the loan contract provides otherwise, the exchange rate used for the conversion shall be that published by the European Central Bank on the date on which the conversion is requested.
2. Borrowers who are not classified as consumers may agree with their lender on a mechanism to limit the exchange rate risk to which they are exposed under the loan contract, in lieu of the right recognised in the previous section.
3. Lenders shall regularly report to the borrower, in the terms and within the time limits established by order of the Ministry of the Economy and Business, of the amount owed with a breakdown of any increase that may have occurred, and of the right of conversion into an alternative currency and the conditions for exercising such conversion. Information will also be provided, where applicable, on the contractually applicable mechanisms to limit the exchange rate risk to which the borrower is exposed.
4. The information referred to in the previous section shall in any case be provided when the value of the amount owed by the borrower or of the regular instalments deviates by more than 20% from the amount that would have applied had the exchange rate between the currency of the loan contract and the euro in force on the date the loan contract was signed been applied.
5. The provisions applicable under this article shall be made known to the borrower through both the European Standardised Information Sheet (ESIS), contained in Annex I of this Law, and the loan contract. If the loan contracts do not contain provisions designed to limit the borrower's exposure to exchange rate risk to fluctuations of less than 20%, the ESIS must include an illustrative example of the effects that a 20% exchange rate fluctuation would have.
6. Failure to comply with any of the requirements set out in this article shall result, in favour of the consumer borrower, in the nullity of the multi-currency clauses and shall entitle the borrower to request an amendment to the contract such that the loan is deemed to have been granted from the outset in the currency in which the borrower receives the majority of their income.