From today, Wednesday 1 February, borrowers can apply for the subsidy for home loans. The subsidy is also given to small business loans, with collateral security on the first home, of vulnerable citizens.

Borrowers will be able to submit their applications on the gov.gr platform at: https://www.gov.gr/ipiresies/periousia-kai-phorologia/diakheirise-opheilon/bebaiose-eualotou-opheilete, in order to receive the relevant support. The first step is the issuance of a certificate of vulnerability of the borrower through the information system of the Special Secretariat for Private Debt.

The Mortgage Loan Scheme

The scheme provides for a 50% subsidy of the interest rate increase. The reference date for calculating the increase is set at 30.6.2022. The subsidy will be given for a period of 12 months. The corresponding amounts are expected to start being credited to the beneficiaries' accounts in April.

The entire cost of the support to vulnerable borrowers will be covered under the distinct corporate social responsibility actions of financial institutions, with equal contributions from the four systemic banks (Alpha Bank, National Bank, Eurobank and Piraeus Bank).

Applications are only for vulnerable borrowers with a mortgage loan and can be submitted via gov.gr, under "services-property and tax-debt management".

The procedure

Borrowers will have to apply on the platform. The Special Secretariat for Private Debt Management will confirm that they relate to vulnerable households

Banks will then undertake to monitor the payments, the amount of subsidy.

The criteria membership of the programme

As for the criteria for participation in the programme, beneficiaries are borrowers with a housing loan and/or small business loan secured by a security over the 1st residence.

Annual income cannot exceed 7.000€, plus 3.500€ per family member, with a limit and maximum annual income of 21.000€.

The maximum value of the main (first) residence must not exceed 180.000€, the total deposits up to 7.000€, increased by 3.500€ per family member, with a limit of 21.000€ for total deposits.