Astana, 22 October. From 31 October Otbasy Bank is changing the maximum fee for issuing preliminary and interim housing loans: the rate stays at 1% of the amount, but the cap rises from 300,000 to 500,000 tenge on loans of 50 million to 100 million tenge, and to 1 million tenge on loans above 100 million.
For loans of up to 50 million tenge inclusive nothing changes: 1%, but no more than 300,000 tenge. According to the bank, 92% of borrowers take such loans. The new terms apply to applications the bank accepts from 31 October; earlier applications will be considered under the old rules, and loans already issued are not affected. The fee is charged once, when the loan is issued. For example, on a loan of 80 million tenge it will be 500,000 tenge instead of 300,000, and on a loan of 150 million, 1 million instead of 300,000.
The bank stresses that the fee itself is not changing: only its limits are.
The bank calls the change a "fairer approach" to setting the maximum fee according to the size of the loan: previously the maximum fee was 300,000 tenge whatever the size of the loan.
What it means: For 92% of Otbasy Bank's customers nothing changes, while those taking large housing loans will pay up to 200,000 or up to 700,000 tenge more to have them issued from 31 October.
Who benefits: The bank, which will earn more fee income on large loans. Borrowers seeking more than 50 million tenge are better off applying before 31 October: applications accepted earlier keep the old cap.
Background: Otbasy Bank issues preliminary and interim loans to housing savings depositors before they have accumulated the required amount on deposit.
List of sources used: Otbasy Bank, LS
Artificial intelligence was used in preparing this material.
