Toekomstbestendig Wonen personal loan

This entry covers the ordinary personal loan for energy-saving or energy-generating improvements to an existing home and its outbuildings. You must include at least one energy measure. You can combine it with work to make the home suitable as you age, foundation repairs or demolition of old outbuildings.

You can borrow €2,500–€30,000. The maximum term is 10 years for amounts up to €15,000 and 15 years from €15,001. The municipality's rules state 1.6% interest and the current administrator example uses that rate. The rate for your application is set when it is received and then stays fixed for the loan term; the municipality may change rates for new applications. Regular payments include interest and repayment of the borrowed balance. No mortgage security is taken for this route.

There is no arrangement fee. Any financial adviser charges are yours to pay. You can repay early without a fee, with a minimum extra repayment of €250. SVn adjusts the regular payment after a partial repayment and may shorten the term if that payment falls below €35.

SVn holds the loan in a building depot, an account from which approved invoices are paid. Contractors are paid directly; reimbursement for an invoice you paid requires proof of payment and SVn approval. You pay any invoice amount above the remaining depot balance yourself and cannot put your own money into the depot. Banking charges for payments are passed on to you. For DIY work, only purchased materials and products can be claimed, not your own hours.

The depot normally lasts 12 months, with one extension of up to 12 months on request. It closes when the money is used or the work is finished, and after no more than 24 months. SVn may close it after six months without transactions. Unused money at closure repays part of your loan. For up to 12 months, the depot balance earns the credit interest stated in your loan documents; it is offset against your regular payment.

Each joint borrower is responsible for the whole debt. You must repay even if your contractor fails to fulfil its agreement. Late payments attract statutory interest and may incur administration or collection charges.

SVn can demand immediate repayment after at least two months of arrears if you still fail to pay after formal notice; if you leave, or are reasonably expected soon to leave, your permanent residence in the Netherlands; on bankruptcy or admission to statutory personal debt restructuring; or after deliberate material misinformation, including misuse of the loan. After a borrower dies, immediate repayment applies only if SVn has good reason to expect the loan obligations will not be met.