Loans Post-Drawdown

Early Repayment Fee

An applicant has the possibility to repay this loan early, either fully or partially. In this case, an early repayment charge may apply. If an early repayment charge applies, the Local Authority will calculate the level of the early repayment charge due to be paid by the borrower, should they decide to repay the loan before the end of the term. The early repayment charge will be calculated as follows:

• Reducing balance redemption amount [A]
• Original Irish bond yield for loan term [B]
• Current Irish bond yield for remaining term [C]
• Remaining term in days [T]

where breakage calculation = (A x (B-C)) x T divided by 365.

Adding/Removing Borrowers

Removing a borrower

A borrower can be removed from a mortgage (for example due to relationship breakdown), however as this may have implications for the security and repayment of loan it can only be done with the consent of the Local Authority.

Adding a borrower

In certain circumstances (borrower enters into a new relationship), a borrower may seek to add a new borrower to the mortgage. This may be facilitated by your local authority but subsequent addition of borrowers which are an attempt to circumvent Local Authority Home Loan scheme rules will not be facilitated.