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Coop Pank offers home loans to teachers on favourable terms
12.01.2024
The interest rate on a Coop Pank teacher home loan starts from 1.69% plus 6-month Euribor. However, if the teacher submits a loan application before May 31, 2024, the bank’s margin for the first year will be 0% and only the 6-month Euribor will have to be paid. When a year has passed since the issuance of the zero-margin loan, the standard risk margin will be applied, starting at 1.69% for teachers.
Karin Ossipova, head of real estate financing at Coop Pank said that Coop Pank strives to improve life in Estonia. “Teachers play a significant role in Estonia’s development, and concerns about teachers’ workload and how they cope with their role affect the entire society. We are just a bank, and we cannot bridge the gap in teachers’ workloads, responsibility, and salaries, but we can help teachers afford the housing they dream of and deserve,” Osipova explained why the bank decided to offer home loans to teachers on better terms.
In addition to a more favourable credit margin, the bank waives the loan agreement fee for teachers and pays up to 100 euros for home insurance payments made through Coop Kindlustusmaakler during the first year of the loan. The teacher’s home loan customer also saves on banking fees since for the first year the teacher is offered the Rahn payment package free of charge
Coop Pank offers teachers the best loan conditions. All teachers of kindergartens and secondary schools can apply for a teacher home loan, including teaching assistants and support specialists, school psychologists, special educators, social pedagogues, educational consultants, heads of the educational process, and heads of educational institutions. A teacher home loan can be used to purchase, build, and renovate a home, or to refinance an existing home loan.
Karin Osipova said that the purpose of the new loan is to make it as easy as possible for a teacher to purchase their own home. To receive a home loan on better terms from Coop Pank, a teacher can be either the main loan applicant or a co-applicant. One can apply for a teacher’s housing loan together with various KredEx guarantees for housing loans, which will help to significantly reduce the amount of self-financing. “The most popular of them are, for example, a guarantee for a young specialist, a guarantee for a young family and a guarantee for a family with children. To reduce their own financing, teachers who live further from major cities and towns can also take advantage of the KredEx guarantee for home buyers in rural areas and the joint loan offered by the Foundation for Rural Development (MES),” Osipova noted.
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