Many require the power of a mortgage to purchase a property, but how to behave if you have the necessary capital to pay off that debt in advance? We keep open the loan until maturity or pay it off is better? Surely the early repayment guarantee the cessation of payments of interest and thus greater convenience. But you can pay off your mortgage without penalty? And what is the right way to do it?

You need:

* Booking Form counts for the termination of
* Sending the form by registered A / R

The early repayment of the loan is definitely possible, but it is not always free of charge. The distinction depends on the start date of the loan: if the ignition is prior to February 2, 2007, you must pay any penalties , otherwise, there are no penalties. This is thanks to the decree n. 7/2007, subsequently converted into Law no. 40/2007, the so-called Bersani law . Before this law in fact the penalties for early repayment of the loan also came to 5% of the final balance, but now fortunately things have changed and this also for the loans prior to 2 February 2007. What is the difference? The difference is that the penalties even then were greatly reduced, hovering between 0.2% and 2% in the worst cases. The final tally depends on the date (before or after 2001) and the type of mortgage (fixed, variable or mixed).


But what is needed to pay off a mortgage ? First, the borrower must apply to the bank where he performed the ignition of the loan and request the document (or module) reservation counts for the termination of that relationship. The document must be completed with all the details of the borrower, the loan in question and the lending bank, to the fullest extent possible and must be sent by registered A / R (return receipt requested) the credit institution itself.

The borrower is then contacted by the bank and the final balance is deducted from the account of the subject. Due to the residual must also add: the charges arising from the fees that the bank charges for the same operations, the interest on the installment that is still being paid prior to the termination, and any penalties charged if the ‘Power of the mortgage was made ​​before the Bersani law mentioned above. Following completion of extinction of the mortgage will the bank to send the subject all the documentation showing the end of that kind of relationship.