In short, a mortgage can be secured by a mortgage on any real estate - whether owned by the borrower or by third parties. By contrast, a mortgage loan must be secured by a mortgage on the property for which the loan has been granted, even if other properties are also pledged as collateral.

What is a mortgage loan?
A mortgage loan is a loan for the purchase, construction or renovation (modernization) of a dwelling. This type of loan may also be secured on another dwelling, which may be owned by the borrower or by other persons. 🏡

What is a mortgage loan?
A mortgage loan is a loan for the purchase, construction or renovation (modernization) of a dwelling, which is secured at least by a mortgage on the property financed by the loan.

To take out a loan from Banca Transilvania, you need to meet several eligibility criteria:

• You have been earning wages, pensions or other stable income for at least 3 months
• Good payment behavior
• Meet the necessary conditions for each type of credit
• Have a minimum down payment of 15% for credit in lei and 20% for credit in euro

The amount representing the advance payment must be deposited in cash or transferred to the account of Banca Transilvania, or proof can be provided by a bank statement or payment order.

It is good to bear in mind that, in the case of a variable interest rate, it will be updated and modified by the bank on a quarterly basis, according to the specific monetary index. Changes in the reference index and fluctuations in income can affect your ability to repay your installments or the total amount you have to pay.