Published: December 23 2023
If you have an average salary in Budapest, Hungary, you may be wondering how much personal loan you can get. In this article, we will explore the loan options available based on your income.
Average salary and loan amounts
According to the Central Statistical Office (KSH), the average gross and net income in October 2023 increased by 14% compared to the previous year. With a net monthly income of 375,300 Hungarian forints, individuals with at least 5 employees or working in budgetary institutions earned slightly more. We will evaluate the loan amounts available for an average net income of 375,300 forints and compare it to the loan options available a year ago.
Loan criteria and borrowing limits
The Central Bank sets a debt-to-income ratio (JTM) that determines the maximum loan amount you can borrow. For consumer loans, if your net monthly income is below 600,000 forints, the monthly installment cannot exceed 50% of your income. Based on this criteria, we will analyze the loan offers from four banks for a 6.7 million forint loan with a four-year term.
Loan offers and repayment terms
The banks offer loans with total annual interest rates (THM) ranging from 15.61% to 16.90%. The monthly installments vary between 184,401 and 190,487 forints, and the total repayment amounts range from 8,883,648 to 8,918,248 forints. We will assess the affordability of these loan options for individuals who earn the average net income of 375,000 forints and are willing to make payments close to the JTM limit.
Loan options for a longer term
If you prefer a longer loan term of 5 years and have a net income of 386,000 forints, we will explore the loan amounts available and compare them to the loan options from a year ago. The loan offers have THM rates ranging from 14.45% to 16.70%, with monthly installments between 184,000 and 191,000 forints, and total repayment amounts of 11-11.5 million forints. We will evaluate the suitability of these options for individuals who earn the average net income of 375,000 forints.
Questions & Answers
How much did the average salary in Budapest, Hungary increase in the past year? The average salary in Budapest, Hungary increased by 14 percent in the past year.
How much personal loan can I get with an average salary in Budapest, Hungary? With an average net income of 386,000 forints, you can get a personal loan of around 6.7 to 6.8 million forints.
What is the income limit for consumer loans in Hungary? For consumer loans, if your monthly net income is below 600,000 forints, the monthly installment cannot exceed 50 percent of your income.
How much personal loan can I get with a 5-year repayment term and a net income of 386,000 forints in Hungary? With a net income of 386,000 forints and a 5-year repayment term, you can get a personal loan of around 8 million forints.
What are the interest rates for personal loans in Hungary? The interest rates for personal loans in Hungary range from 14.45 percent to 16.90 percent.
Which banks offer affordable monthly installments for those earning the average net income of 375,000 forints in Budapest, Hungary? CIB, Raiffeisen, and Erste are the banks that offer affordable monthly installments for those earning the average net income of 375,000 forints.
How much personal loan could I have gotten with a net income of 339,500 forints in Budapest, Hungary a year ago? With a net income of 339,500 forints, you could have gotten a personal loan of up to 6 million forints with a 4-year repayment term a year ago.
