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BBA Housing Credit: Comparative Study

We recently published an article on the Best Bank for Housing Credit of 50,000 euros and at the date of publication we can not include the analysis of BBA housing credit that has been requested so much by our readers.

The BBA bank already has the simulator available, so we can carry out the comparative study, within the established requirements, namely;

 

DATA OF THE PROPONENTS

  • Proponents: Mature, average age 30 years;
  • RANB (Annual Gross Annual Income): 30,000 euros;
  • Charges with other credits: No;
  • Work link: Effective;
  • Housing Savings Account: No

 

CREDIT ORDER INFORMATION HOUSING

CREDIT ORDER INFORMATION HOUSING

  • Purpose: Acquisition of Permanent Own Housing;
  • Amount of the financing: 50,000 euros;
  • Evaluation Value: 100,000 euros;
  • Purchase value: 80,000 euros;
  • Ratio Financing guarantee: 50%;
  • Subscribed Products
    • Domiciliary of ordinances;
    • Life insurance;
    • Housing Insurance;
  • Deadline: 30 years (360 months)
  • Index: Eur3Meses

 

BBA offers a simulation with a 3% speed

BBA offers a simulation with a 3% speed

Much has been said about the advantages of BBA housing credit , being announced by our readers spreads well below the market average. What we can see is that these spreads may already have ended or the bank’s strategy has changed in relation to housing credit.

Otherwise, for the requirements identified above, BBA offers a simulation with a 3% spread that compared to our study on January 19, 2011, only BPI showed a higher spread.

Continuing, when looking at bank charges, the opposite is true, BBA presenting lower bank charges, and with the benefit of not charging a monthly processing fee to settle the installments. It may be a small benefit but over 360 installments are more than 400 euros of savings.

From the comparison one can conclude that the low spreads of the past are not currently verified and that, except in exceptional cases, BBA bank does not have better conditions than other banks.

 

Life insurance is different from home insurance

Life insurance is different from home insurance

Even at the level of insurance, we have an unfavorable scenario for BBA in relation to housing insurance, presenting an insurance premium higher than the other banks in our study. Not only is it superior as it is more than twice as cheap insurance.

Life insurance, unlike home insurance, is the one with the lowest premium of our study.Leaving the scope of our study let’s look at the BBA spreads grid.

As you can see, the practical minimum spread is 1.40% for a financing / guarantee ratio of less than 50% and provided that the customer subscribes all the products of Package C, namely;

  • Domicile of the Ordained;
  • BBA Life Insurance for all borrowers ( in which each borrower has equity insurance corresponding to 100% funded capital );
  • Multirisk Insurance;
  • Domicile of 3 domestic payments;
  • Credit card;
  • PPR or Pension Fund BBA Protection;

The customer to maintain the 1.40% spread will have to keep the assets active throughout the term of the housing credit, otherwise the spread will be updated to the default values. What was not possible to determine was the update method and the spread.

 

Out of curiosity, here are the products for each BBA package:

Out of curiosity, here are the products for each BBA package:

  • Package A
    • Domiciliary of the Ordained
    • BBA Life Insurance for all borrowers (in which each borrower has equity insurance corresponding to 100% funded capital)
    • Multirisk Insurance;
  • Package B
    • Package A
    • Domicile of 3 domestic payments
    • Credit card;
  • Package C
    • Package B
    • PPR or Pension Fund BBA Protection;

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