Can I repay my loan early in Hungary?
Yes — early repayment is your statutory right, and the bank's fee is capped. Under the consumer-credit act, loans are prepayable in part or in full at any time — banks can't refuse, and interest accrues only on outstanding principal for the actual term. The fee caps: on consumer loans 1 % of the prepaid amount (0.5 % where under a year remains) — and no fee at all for one prepayment a year up to 200,000 HUF — a cap rising to 500,000 from 20 November 2026. On mortgages the cap is 2 % (1 % on certified consumer-friendly loans) (often free from building-society savings or within contractual allowances; consumer-friendly certified loans are kinder). The maths almost always works for you: prepayment erases the remaining interest — the fee is typically a dwarf beside it. Request a written prepayment calculation and choose: lower instalments or a shorter term (the latter saves more).
📋 The key rules
- Prepayment: a statutory right — partial and full, any time
- Consumer-loan fee cap: 1 % (0.5 % under a year to maturity)
- Free: one prepayment a year up to 200,000 HUF — rising to 500,000 from 20 Nov 2026
- Mortgages: max 2 % (certified consumer-friendly loans max 1 %, free from building-society savings)
- Interest accrues only for the actual outstanding term
🔓 Exceptions
- State-subsidised loans (CSOK+, baby-expecting loans): own rules — mind the subsidy conditions
- Fixed-rate mortgages: the bank's proven cost can factor into the fee
⚠️ Penalties
No sanctions — the cost is the (capped) fee itself. Bank violations (refusing prepayment, over-cap fees) go to the central bank's complaint desk and the Financial Arbitration Board, with good odds.
📎 Official sources
- Act CLXII of 2009 on consumer credit (consolidated, HU) →
- Bank360 · Loan prepayment essentials (HU) →
- Money.hu · How prepayment works (HU) →
❓ Frequently asked questions
Can the bank refuse my prepayment?
No — prepayment is a statutory right: the bank may at most charge the capped fee and must recalculate interest on the new principal.
What's the fee in practice?
Max 1 % on consumer loans (0.5 % with short remaining terms), typically 1.5–2 % on mortgages — one small (sub-200k) prepayment a year is free, and many banks waive fees promotionally.
Lower instalments or a shorter term?
The shorter term saves more (fewer interest periods), lower instalments ease the monthly budget — the bank's calculation shows both versions.
Does this cover the baby-expecting loan?
Subsidised loans run their own rules — prepayment works there too, but review the subsidy conditions (like childbearing clauses) first.
🔎 What people actually search
Real search phrases for this topic.
- “early loan repayment fee hungary”
- “prepayment 1 percent cap”
- “mortgage prepayment 2 percent”
- “free prepayment 200000”
- “shorter term or lower instalment”