Diaspora Housing Loan

Processing fee: 1.00% of the approved loan amount.

* For repayment periods longer than 10 years, a variable interest rate applies. The variable interest rate (market-indexed) consists of a fixed part representing the Banks margin and a fluctuating part determined on the basis of the six-month EURIBOR as the reference interest rate published by the European Money Markets Institute/EMMI (www.emmi-benchmarks.eu). When calculating the monthly instalments, the Bank used the EURIBOR value as of 30 September 2022.

** The effective interest rate (APR) for the diaspora housing loan is calculated at a fixed interest rate of 4.89% on an amount of 300,000 BAM and a repayment term of 120 months, for Bank clients. The APR calculation includes all costs that may be borne by the borrower (loan processing fee, loan account maintenance fee, credit registry (CRK) report fee, document certification costs, bill-of-exchange costs, standing-order registration costs, property appraisal costs, insurance policy costs and notary costs).

Application requirements

To realise the loan, the basic credit conditions must be met, including a maximum age of 65 at the end of the repayment period, adequate collateral (a mortgage on the property at a ratio of at least 1:1.2) and the involvement of a creditworthy co-borrower.

Required documentation

The approval process requires the submission of credible documentation on employment status and income:

Proof of employment status: An employment contract or an employers confirmation (notarised and, where necessary, further certified with an apostille stamp).

Proof of income level: The last three payslips (signed and stamped by the employer) and bank account statements for the last three months.

Credit report: A credit registry report from the country of employment.

Note: All documents must be submitted with a certified translation by a court interpreter into one of the official languages of BiH.