Poland: Swiss Franc loans come back to bite

nope, loan was unfortunately for me taken at the wrong time in 2008...

I don't see how you cannot be paying interest at the moment if that was the case. Perhaps I'm missing something. Especially considering the rates which your 3 month CHF LIBOR research suggestion has highlighted. Would you mind explaining in more detail?


How can your mortgage taken out in 2008 (of which the rates were averaging +2.7) actually be +70?

it isn't rocket science! As previously explained, the margin of my loan is 70 bp above 3m chf libor. Right now , 3m chf libor is at - 78bp, so -78+70 <0, so i am only repaying capital

Im aware of that. The average LIBOR rate for the year 2008 was around 2.1, to get 0.70 you must have taken it in December 2008. Ohh i see now, crikey.....so you bought when property was at the most expensive, just before the bubble burst. The FX rate back in 2008 is where the real sting lies. But even that wasn't too bad come December 2008, you were lucky.

2008 LIBOR rate - global-rates.com/interest-rates/libor/swiss-franc/2008.aspx

Barney can we have an explanation as to why you broke the CHF LIBOR 2008 rate? That link is directly related to CHF Polish mortgages, its an integral part of that discussion. I assume you have some knowledge of the Polish property boom which climaxed in 2008......and the CHF/PLN mortgage scandal?

It wasn't Barney's decision - stop harassing him, the link temporarily recovered.
PS - a 'broken' link doesn't prevent anyone to visit the site if needed.

You are confusing interest rate and margin. I got 0.70 margin because my loan was large (over 1 M CHF) and the LTV low (ca 60%), which means that even today all my repayments are covered by the rental I get from the property (this is an investment property).

Can I ask what is a good Polish bank I can get a loan to buy a house there is?

Got mine from KB but that bank no longer exists per se, it is part of BZ WBK, itself a part of Santander