Installment or mortgage loans at 0% or very low rates in Belgium!

To borrow at a very good rate in Belgium, or even to make a loan without interest, it is possible to get closer to the Hydreloin Social Credit, the famous HSC. The first of the conditions to benefit from it is to live in Wallonia, which is not given to all Belgians unfortunately. The second is to be part of low wages, small income, or to have a large family to support.

Who can borrow from HSC?

Who can borrow from HSC?

Walloons. To borrow in Belgium being French there are other solutions, like getting closer to traditional banks on the spot for example. In addition, do not be over-indebted, which seems logical. To find out more about overindebtedness in Belgium, read our dedicated article.

Income conditions are applied to enable the poorest households to borrow, even those who are in a precarious situation to buy their home or have it renovated, work to save energy included. For large families, from 3 children, it is also possible to benefit from the housing fund for large families in Wallonia.

What are the loans granted by HSC?

What are the loans granted by HSC?

These are mortgages, but with vocation and at social rates. In concrete terms, this means that when it comes to borrowing with an interest rate, it is less important than if one were to apply to a Belgian bank. In addition, each municipality participates, to lower the cost of credit. To have a loan at a rate of 0, borrowed money must be used to do energy saving work.

Why are you talking here about a social loan? Because this money must allow everyone, even the less wealthy, to become the owner, while monitoring, and avoiding, the risk of over-indebtedness. For this, assistance is required until the loan is repaid.

In addition, for those who are put off by the heaviness of the files to mount when it comes to applying for a loan, know that the Walloon agency accompanies applicants from the beginning of the application to obtaining housing credit.

Where to find the Hydreloin Social Credit?

There are counters in all major cities of Wallonia, twenty-two agencies in total. Belgians who so wish can easily find out about the conditions and amounts of mortgages.

It is in these agencies that the files will be assembled to obtain and release the funds. Some of these agencies directly lend money themselves, while others are only intermediaries.

What is the role of HSC?

If the Walloon government supports the HSC, it is to allow those who do not earn too much money to become in turn owner without too much indebtedness with a bank or a conventional credit institution. His weapon: very competitive interest rates, and support every moment. The borrower is no longer delivered to himself and that changes everything.

Buying a home in Wallonia is no longer an impossible task for low-income households who have to cope with rising house prices year after year, making homeownership difficult.

In addition, for those who must do work in his home, they are made possible by dedicated mortgages. The same goes for work promoting energy savings, knowing that they can be totally supported by these social organizations.

Why not borrow from a bank?

Why not borrow from a bank?

Unlike a conventional bank, a private company that is going to earn money (a lot of money), HSC has a social purpose. Borrowers are supported in their approach, either at the counters or by telephone. Many Walloons are in fact asking questions about social mortgage loans.

Another advantage: where banks sometimes take 2 months to respond to a request for credit, the HSC responds in 3 weeks at most. We know where we are going, and if we can confirm his real estate purchase from the agency or the owner.

However, we remind those who forget that this is a loan and that in this respect, it will be necessary to repay them, adding interest, which will cost more money than if the purchase real estate had been done without going through the borrowing box.

The types of credits available

The types of credits available

These are mortgages with a 30-year guarantee. The interests offered benefit from the help of the municipalities, which participate and reduce them, sometimes even up to 2%. This discount varies according to its municipality. For those who have to move before borrowing, it may be interesting to learn about the part supported by his new municipality.

Energy work

It is an installment loan at zero% up to 30 000 euros (knowing that it starts at 2500 euros). Amount and duration of repayment are conditioned on the resources of the household.

The ecopack is accessible only for households that have not declared more than 93,000 euros of income over a fiscal year. As with other loans from the HSC, the current indebtedness of the home will be studied loan (with the new credit, it should not exceed 30% of its monthly income.The central credit to individuals will be automatically consulted).

Who can do the work? Note to DIYers, we can not do it yourself. You have to go through a contractor (with invoice and quote).

HT loans

Also concerned are HT + and HT green loans. Attention: they are paid to first-time buyers who do not want to make rental investment or exercise a professional activity (in this case it must be agreed by the HSC), but who wish to live there directly.

As an indication, but it changes every year, you should not have earned more than 50,000 euros in a year. Added to this are increases based on the number of children in the family unit. There are also conditions on the value of the house or apartment. In the case of a resale, it will be necessary to have totally paid off credit before being able to do it.

Resource flaws do not have to get gray hairs with repayments. If they do exist, they can not exceed 30% of the income of the family (a little like it happens in France for that matter). For those who have no contribution, or who do not want to touch their savings, the loan can be 100% of the sum, plus notary fees, or 110%.

How to apply for a social loan?

Anyone can try their luck, provided they are of age and live in Belgium (in Wallonia), while not having failed to register in the population register of their municipality.

All that remains is to go to a social credit counter where the application will be examined, according to the resources and the situation of each one. Then, it will come time to assemble the file including an expertise of the housing in question. Good to know: fees and expertise will be applied, on average 200 euros.

Our advice

Never start work until you get the loan agreement.

You will understand: our opinion on mortgage and installment loans of the HSC is good. Belgium, and Wallonia in particular, has taken a big step towards equality of opportunity, and we congratulate it, especially when we know the reluctance of banks to lend to people with low incomes.