Your Money Matters: A Weekly Financial Q&A with Capital Credit Union

by Gazette Reporter
0 comment

Q: My wife and I are in the process of buying our first home. Can Capital Credit Union help us secure a mortgage?

A: Absolutely. We offer a great package for First Time Buyers. As your local credit union, we are committed to providing you with the best value and dedicated support. With up to a 90% loan-to-value ratio and a competitive variable rate of just 3.85% (3.92% APRC*), we strive to make homeownership accessible and affordable for you. To begin, use our Affordability Calculator on our website, www.capitalcu.ie, to see how much you can borrow. 

There is a minimum deposit requirement of 10% of the property value. Once you’ve gathered your deposit and are ready to proceed, submit a mortgage enquiry via our website, by phone or visit any of our branches. One of our dedicated mortgage specialists will discuss your application and guide you through the process. Anyone interested will receive a Capital Credit Union mortgage pack with all the relevant forms and documents they will need. When you’ve found your perfect home, let us know, and we’ll guide you through the next steps, turning your dream of homeownership into a reality.

Q: I’m eager to qualify for Capital Credit Union’s green mortgage, which offers a competitive fixed rate of 3.50% (3.70% APRC*). Could you provide tips on achieving a B3 or higher BER rating to meet the qualification criteria?

A: Achieving a Building Energy Rating (BER) of B3 or higher typically involves implementing energy-efficient measures in your home. A BER certificate is compulsory for all homes available for rent or sale. Firstly, find a BER Assessor listed in the SEAI National Register of BER Assessors and request a quote and timeline for the assessment. Your assessor will outline the assessment process and will issue you a contract or letter of engagement. You will then need to gather the necessary documentation including certifications, receipts, invoices, and specification documents from the architect, engineer, or contractor handling the project.

Once the works have been carried out and your BER assessment is complete, you will receive the BER Certificate indicating your home’s BER rating along with an advisory report offering tailored energy-saving suggestions aimed at enhancing your BER rating. Potential measures may involve insulation upgrades in walls, attic, and floors to minimise heat loss, transitioning to energy-efficient heating systems such as condensing boilers or heat pumps, and installing double or triple-glazed windows as well as energy-efficient doors to bolster insulation. Capital Credit Union also provides a range of discounted Green Loans if you need to borrow to complete any of these works, with rates starting from just 5.9% (6.06% APR).

Q: I am considering switching my mortgage to my local Capital Credit Union branch. What kind of rate could I expect to pay and what are the necessary steps for making the switch?

Our movers’ package is crafted with your convenience in mind, ensuring a smooth transition as you switch your mortgage to us. Along with our competitive variable rate and green mortgage, we also provide a 5-year fixed-rate mortgage at 4.50% (4.11% APRC*) on a 90% Loan-to-value ratio exclusively for private principal residences, perfectly suited for people like you who are looking to switch. The rate of interest doesn’t change for the fixed period, so you know exactly how much you will pay each month. Once the 5-year period expires, you’ll have the flexibility to transition to a variable rate or opt to fix again. It’s important to note that exiting a fixed rate prematurely may incur a breakage fee, so reviewing your policy conditions is advisable.

To get started, use our user-friendly mortgage affordability calculator on our website to estimate your repayments. Gather the required documentation, including statements reflecting your last 12 months’ mortgage repayments and the title documents of your property. Next, submit your application through our online portal, phone, email, or visit one of our branches, where our mortgage advisors will assist you every step of the way. We will advise you when a valuation report of your home is required. You do not need to arrange this yourself. Legal aspects of the switching process will be managed by your solicitor, ensuring a hassle-free experience. 

Q: What advantages do members gain by opting for a mortgage with Capital Credit Union as opposed to a traditional retail bank?

A: Credit unions are consistently Ireland’s most trusted organisation grounded in the cooperative values of equality, equity, and mutual help. Capital Credit Union has a rich history spanning over 50 years within our local community, we embody the ethos of “people helping people”, offering unwavering support when you need it. We offer a diverse range of mortgage products so there is something for everyone. Whether you are a first-time buyer, considering switching mortgage providers, interested in a green mortgage, or seeking the security of a fixed rate, we have tailored solutions to suit everyone. Once you are a Capital Credit Union member over the age of 18 and you meet our mortgage criteria, you can apply for a mortgage straight away.                 

Our mortgage terms extend up to 35 years and our dedicated mortgage advisors will assist you in selecting a term length for your circumstances. At Capital Credit Union, we prioritise both exceptional service and unparalleled value. For instance, our green mortgage offers a competitive 5-year fixed rate of just 3.50% (3.70% APRC*), demonstrating our commitment to affordability and sustainability. The user-friendly mortgage affordability calculator on our website will help you calculate how much you can borrow and what your repayments will look like. Our supportive staff will guide you every step of the way, while our convenient online banking platform ensures quick access to your accounts. At Capital Credit Union, we’re here to help you achieve your homeownership dreams.

Capital Credit Union is regulated by the Central Bank of Ireland.

Loans are subject to approval. Terms and Conditions apply. A first legal charge is required for all mortgages. Mortgage protection insurance and home insurance are required.

* APRC = Annual Percentage Rate of Charge

Warning: If you do not meet the repayments on your loan, your account will go into arrears. This may affect your credit rating which may limit your ability to access credit in the future.
Warning: If you do not keep up repayments, you may lose your home
Warning (Variable Rate): The cost of your monthly repayments may increase
Warning: You may have to pay charges if you pay off a fixed rate loan early


Fixed Rate Representative Example: €300,000 loan repayable over 30 years term, first five years fixed. Fixed rate of interest 4.50% per annum and 4.11% APRC*. 60 monthly repayments of €1,520.06 per month. On the expiry of a fixed rate period, your mortgage account will revert to a variable rate in accordance with the terms of your loan documentation for the remaining 300 months.

Variable Rate Representative Example: €300,000 loan repayable over 30 years. Rate of interest 3.85% per annum variable. 3.92% APRC*. 360 monthly repayments of €1,406.42 per month. Total amount payable is €505,718.08.

Green Mortgage Fixed Rate Representative Example: €300,000 loan repayable over 30 years term, first five years fixed. Fixed rate of interest 3.50% per annum and 3.56% APRC*. 60 monthly repayments of €1,347.13 per month. On the expiry of a fixed rate period, your mortgage account will revert to a variable rate in accordance with the terms of your loan documentation for the remaining 300 months

Rates are correct as of 18/07/23 and are subject to change. Rates may vary over the term of a mortgage. All information, prices and rates quoted are for guidance only and do not form any part of a legal contract, agreement or understanding.

Representative example: €20,000 loan repayable over 4 years. Rate of interest 5.9% per annum variable. *APR (Annual Percentage Rate) 6.06%. 60 monthly repayments of €385.73 per month. Total amount payable is €23,143.60

Related Articles