Can I repay my loan early? What penalties apply?

Yes, you can repay your mortgage in full or in part at any time, provided you give the lender at least seven business days' prior notice.

As for penalties, the lender may charge a maximum fee of 0.5% of the repaid capital on variable-rate contracts and 2% on fixed-rate contracts.

However, during certain periods and under specific legal conditions, the early repayment fee on variable-rate contracts may be suspended, so it is important to confirm whether that exemption applies when you intend to repay.

For example, if you repay EUR10,000 on a variable-rate loan, the maximum fee would be EUR50, but it may be EUR0 if a legal suspension is in force. On a fixed-rate loan, the fee could reach EUR200.

In practice, this fee should be weighed against the interest savings generated by the repayment, because in many cases the benefit of reducing outstanding capital outweighs the cost of the penalty.