Mortgages
Mortgage approval depends on more than income. Banks assess both the customer's ability to repay and the value of the property offered as security. The Consolidated Banking Act, Legislative Decree 385/1993, and Bank of Italy provisions require prudent creditworthiness assessment. Repayment capacity is among the
Read Answer →The main difference is how interest is calculated over the loan's lifetime. With a fixed rate, interest is agreed when the contract is signed and remains unchanged until the loan ends. Instalments stay the same regardless of economic or financial-market developments. Borrowers know their monthly
Read Answer →A mortgage loan is a contract under which a bank or other lender provides a sum of money that the borrower must repay over time on agreed dates and terms, usually through periodic instalments comprising principal and interest. The Italian Civil Code defines a loan
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