Regulatory Alerts2016-12-13
Decree of NBS of 13 December 2016 No 10/2016 on housing loan assessment
Národná banka Slovenska issued this decree to establish detailed provisions for assessing borrowers' ability to repay housing loans under Act No 90/2016. The regulation mandates a maximum debt service-to-income ratio of 1.0, requiring creditors to calculate obligations using stressed interest rate scenarios and verified income evidence. It further imposes strict limits on loan terms, loan-to-value ratios, and collateral valuation standards to ensure prudent lending practices.
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