Will there be a change in credit contribution: BNB answers questions about the euro

If I have a loan withdrawn, which is agreed in BGN before the date of introduction of the euro, what will happen to my residual debt/residual principal on the loan?

– The residual debt/the residual principal under loan agreed in BGN will be automatically overwhelmed by the bank in euro when applying the official currency course and the rules for rounding. After the introduction of the euro, the agreed terms of the loan will not be changed – interest rate, term, repayment method and others.

Will there be a change in the loan contribution that is agreed in BGN?

The lev contribution of loan agreed in BGN will automatically be overwhelmed by applying the official fixed currency course as well as the rules for the overwhelming. The terms of payment of the loan installment will not be changed.

The fees that the client pays in connection with his loan granted will also be automatically overwhelmed by the bank when applying the official exchange rate and the rules for rounding.

Will the interest rate change from the date of introduction of the euro on my credit, if it is agreed at a fixed interest rate, such as 3%?

If at the date of introduction of the euro you have an agreed fixed interest rate on loan, for example 3%, the interest rate is maintained as it was agreed before the date of introduction of the euro.

If the interest rate on the credit I absorbed by a bank is variable, for example, it is formed as a benchmark or index/indicator published by the BNB or NSI plus a allowance, will this interest rate change from the date of introduction of the euro?

If, at the date of introduction of the euro, you have a variable interest rate and due to the introduction of the euro, the benchmark/index/indicator is discontinued, the new interest rate applicable to your loan may not be higher than the interest rate before the date of introduction of the euro.

Is it necessary for customers to close their lev bills and open new Euro accounts after the date of introduction of the euro?

No, it is not necessary for customers to close their existing lev bills and open Euro after the date of introduction of the euro. All lev bills in banks will be automatically and free of charge from levs in euro at the official fixed currency course.

Will the International Banking Number (IBAN) change on the BGN accounts after the admission of the euro as an official payment tool?

No, the International Bank Number on the Left Accounts (IBAN) of the customers will remain the same.

How will the lev bills be transferred after the euro introduced as an official payment tool in Bulgaria?

The balances on all BGN bills in banks will be automatically and free of charge in euros from the date of accession of the country to the euro area for the officially announced currency course.

Is there a risk of automatic overwhelming my funds to disappear?

Banks have been working to join the euro area since 2022. All systems have been prepared and tested so that your funds are secure and protected, both from technical errors and from malicious actions. It is not possible to lose your resources in the automatic process of overcurrence.

What happens after the introduction of the euro as an official currency if before the date of introduction of the euro I have two accounts in a bank – one account in euro and one in BGN?

Following the introduction of the euro as an official payment device, your lev account will be automatically and free of charge by the bank in the euro at the official exchange rate, ie. After the date of introduction of the euro, you will have two Euro accounts. Within two months from the date of introduction of the euro, you may request the closure of one payment account and the transfer of the positive balance on it to the other if

There are no weights, attachments and other legal restrictions on your account while maintaining the conditions on the payment account to which the funds are transferred. For these operations, banks will not charge fees and commissions. If there is a debit balance on the payment account, which is closed or you have a credit card issued to it, the relevant obligation must be repaid before the account is closed.

Which fees and commissions should banks in BGN and in euros?

Banks are obliged to designate in BGN and in the Euro the tariffs for fees and commissions for the financial services they provide. They will announce this information in their offices and on the websites.