What is TAEG? And MTIC?
TAEG (Annual Percentage Rate) is the total cost of the Loan, paid by the consumer, expressed as an annual percentage of the granted loan's amount. When calculating the TAEG, expenses of collection of refunds and interest payment are included,as well as the remaing charges to bear (taxes, fees and mandatory insurances).
TAEG can be used to compare Loan proposals. For Loan proposals with the same amount, term, and refund modality, the proposal with the lowest TAEG is the cheapest for the Client. It includes interest + fees + expense+ taxes + insurances.
MTIC (total amount charged to the consumer) its the sum of the total amount of the Loan with the associated costs (interest, fees, taxes and other charges).
Take note that for Loans the tax is variable, MTIC is merely indicative as the interes rate of these Loans can vary with time, according to the fluctuation of the indexed used. (EURIBOR).