Housing credit: Eligible families can now apply for interest subsidy

Requests for access must be submitted by borrowers to credit institutions

Families eligible for the interest subsidy measure on housing loans can now submit the respective requests to banks, the Ministry of Finance announced today.

In a statement, Fernando Medina's ministry recalls that this support takes effect from 1 January, so, "despite the date of the request, the first payment of the bonus will be retroactive to the months of 2023 in which the eligibility requirements are fulfilled ».

Requests for access must be submitted by borrowers to creditor institutions, through the channels they make available for this purpose.

After receiving the complete application, banks have 10 working days to notify borrowers if they meet the requirements for access to the subsidy.

If they do not meet the requirements, entities must “expressly indicate the reasons for ineligibility”.

According to the Ministry of Finance, «most banks operating in Portugal have already adhered to the protocol that puts the measure into operation», but «financial institutions that have not yet done so may still adhere».

The interest subsidy on mortgage loans is a measure included in the Mais Habitação package and is intended to support families up to the maximum limit of the sixth IRS income bracket.

The bonus percentage depends on the annual income, being 75% when the income does not exceed the maximum limit of the 4th income tax bracket and 50% when the income corresponds to the 5th and 6th income bracket.

Households with loans for own and permanent housing, concluded until March 15, whose amount initially contracted does not exceed 250 thousand euros and which present an effort rate equal to or greater than 35% of their annual income with the value of the installments are covered. your credit annually.

According to the executive, «the measure aims to mitigate the impact of rising interest rates, when indexes exceed certain thresholds, and represents a maximum annual support of 720,65 euros», applying to credit contracts for acquisition, construction or works in own and permanent housing that have been contracted at a variable rate or that, having been contracts with a mixed rate, are in the period of the variable rate.