Mortgage

1. Grace Loans

Grace Loans in a Mortgage

Bridging Grace Loans for the Initial Period

• Reduced monthly payments for the initial period of the total loan period
• The monthly repayments during this period will include the interest and linkage differentials on the interest.
• The balance of the loan payment period will be regular – Principal, interest and linkage differentials.

Bridging Grace Loans

• Reduced monthly payments through the loan period
• The monthly payment will include a payment on account of interest + linkage differentials on the interest only..
• The repayment of the loan principal with the addition of linkage differentials at the end of the period (This loan is given for a limited period pursuant to the criteria practiced at the bank).

Contact the nearby Mortgage Center in order to receive early authorization in principle.

2. Fixed interest unindexed loans (FIX)

• Fixed Interest Loan
• The interest rate is known and does not vary from the date of extending the loan until the end of the loan period.
• The loan is unindexed
• The settlement schedule of the loan is fixed, the monthly payment is calculated according to a Shpitzer Table and does not vary from the date of extending the loan until its termination.
• There is an option of early redemption, which is conditional on the payment of various commissions: Interest capitalization differentials, a fee for non-advance notification and an operating commission.
  Full and detailed information about the early settlement commissions can be viewed in the Banking Ordinance (Early Settlement of Housing Loans) 5762 – 2002.

* Subject to the loan course conditions
* Approval of the loan and its extension is pursuant to the bank's procedures and its sole discretion.

3. Indexed Fixed Interest Loans

• Fixed Interest Loan
• The interest rate is known and does not vary from the date of extending the loan until the end of the loan period.
• The loan is linked to the Consumer Price Index. The monthly repayments and loan principal balance are updated every month pursuant to changes in the index.
• The monthly payment is calculated according to the Shpitzer Table. The settlement schedule of the loan is fixed and does not vary unless, in the wake of changes in the CPI.
• There is an option of early redemption, which is conditional on the payment of various commissions: Interest capitalization differentials, an index compensation fee, a fee for non-advance notification and an operating commission.
  Full and detailed information about the early settlement commissions can be viewed in the Banking Ordinance (Early Settlement of Housing Loans) 5762ב – 2002.

* Subject to the loan course conditions
* Approval of the loan and its extension is pursuant to the bank's procedures and its sole discretion.

4. Indexed Variable Interest Loans

• A loan at a variable interest with low-frequency (every 5/6/10 years) or a relatively high frequency (every 1/2/4 years) pursuant to the provisions in the loan agreement.
• The interest rate at the date of extending the loan and on the change dates is based on an objective anchor with the addition of a known predetermined spread.
• The spread, which is set at the time of extending the loan, shall be identical to the spread from the anchor on the interest rate change dates during the lifespan of the loan.
• The loan is linked to the Consumer Price Index. The monthly repayments and loan principal balance are updated every month pursuant to changes in the index.
• During each of the periods between the interest rate changes, the settlement table of the loan is fixed and cannot change, unless in the wake of changes in the CPI. The known settlement table changes on the interest rate change dates.
• It is possible to make early settlement without any interest rate capitalization differentials on the interest rate change dates.

Early settlement not on the interest rate change dates (apart from a loan with an interest rate change frequency of up to one year, inclusive) is conditional on payment of various commissions, including: Interest capitalization differentials, Bank index compensation fee A fee for non-advance notification and an operating commission.
Full and detailed information about the early settlement commissions can be viewed in the Banking Ordinance (Early Settlement of Housing Loans) 5762ב – 2002.
*Subject to the loan course conditions
*Approval of the loan and its extension is pursuant to the bank's procedures and its sole discretion.

5. Unindexed Variable Interest Loans (Prime)

• Variable interest loans based on prime, inferred from monitoring monetary interest rate (BoI's bank rate)
• .Interest-rate changes during the lifespan of the loan are in the wake of changes in the prime interest rate. The interest rate at the date of extending the loan and on the change dates is based on the prime interest rate the addition of a known predetermined spread.
• The spread, from prime at the time of extending the loan shall be identical to the spread from prime at the interest rate change dates during the lifespan of the loan.
• The loan is unindexed
• The monthly payment is calculated according to the Shpitzer Table. The loan settlement table changes on the interest rate change dates.
• There is an option for early settlement of the loan at all times , without interest rate capitalizationי differentials
  Early settlement is conditional on paying various commissions including: A fee for non-advance notification and an operating commission.
  Full and detailed information about the early settlement commissions can be viewed in the Banking Ordinance (Early Settlement of Housing Loans) 5762 – 2002.

* Subject to the loan course conditions
* Approval of the loan and its extension is pursuant to the bank's procedures and its sole discretion.

7. Semi- Fixed Interest Unindexed Loans (FIX)

• A variable interest loan with a low frequency (every 5/10 years).
• The interest rate at the date of extending the loan and on the change dates is based on an objective anchor with the addition of a known predetermined spread.
• The spread, which is set at the time of extending the loan, shall be identical to the spread from the anchor on the interest rate change dates during the lifespan of the loan.
• The loan is unindexed
• The monthly payment is calculated according to the Shpitzer Table. During each of the periods between the interest rate changes, the settlement table of the loan is fixed and does not change .The loan settlement table varies on the interest-rate change dates
  .Early settlement is possible on the interest rate change dates without any interest rate capitalization differential commission
• Early settlement not on interest rate change dates is conditional on the payment of various commissions including: Interest capitalization differentials, a fee for non-advance notification and an operating commission.
  Full and detailed information about the early settlement commissions can be viewed in the Banking Ordinance (Early Settlement of Housing Loans) 5762ב – 2002.

* Subject to the loan course conditions
* Approval of the loan and its extension is pursuant to the bank's procedures and its sole discretion.
* Failure to meet the repayment of the may result in the bank charging late payment interest, and in execution proceedings.