Mortgage portfolio: €2.7 billion in prepayments in 2014

Press release -

A house for sale

In 2014, customers of ABN AMRO prepaid an additional €2.7 billion on their mortgages, a figure that is up by 18% from 2013 and by 56% from 2012.

Never before have customers’ prepayments totalled as much as they did in 2014.

Prepayments were particularly high in December, when they exceeded €600 million. Although it has become common for people to make large prepayments on their mortgages during the final weeks of the year, another contributing factor was that the expanded scope of the gift tax exemption was set to end on 1 January 2015.

More than half these prepayments involved sums of €10,000 or less. However, some prepayments for significantly higher amounts were also made. Prepayments by customers with underwater mortgages averaged half the amounts paid by customers whose mortgages are not underwater. Customers between the ages of 40 and 50 prepaid more than other age groups.

For customers whose mortgages are underwater, ABN AMRO has opened up the possibility – which will remain available throughout 2015 – to make prepayments without charge up to the value of their homes for tax purposes (WOZ-waarde).


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