Early mortgage repayment in Slovakia – when it's free

You can repay a mortgage early at any time, in part or in full. It’s free in these cases: extra payments of up to 30% of the principal per calendar year, repayment when a fixation ends or a variable rate changes, and once a year for a variable rate that didn’t change in the previous year. In all other cases the bank may only charge its actual costs, at most 1% of the amount repaid early. Penalties are prohibited.

The rules are set by Section 18 of Housing Loan Act No. 90/2016 as in force from 1 December 2025. The version of the Act from 20 November 2026 has the same wording. This guide covers mortgages and other housing loans.

When repayment is free

Situation	How much you can repay	Condition
Extra repayment during a fixation	Up to 30% of the principal per calendar year	At most once per calendar month
End of the interest rate fixation	Any part or the whole loan	Request at least one month before the fixation ends, if the bank requires one
Change of a variable rate	Any part or the whole loan	When the rate changes
Variable rate that didn’t change in the previous year	Repayment once a year	The rate didn’t change over the previous year

You can use the free 30% limit in a single payment or spread it over several months. For an extra repayment within this limit the bank may not charge a fee, a penalty or any compensation for costs.

Note: for loans with a rate fixed for the whole term, the exemptions at the end of a fixation and for variable rates (Section 18(6) to (9)) don’t apply. This doesn’t change the 30%-a-year limit under Section 18(2).

What you pay outside the exemptions

If you repay more than 30% a year during a fixation, the bank may ask you to cover the costs that the early repayment actually caused it. The law caps these at 1% of the amount repaid early. A flat-rate penalty isn’t allowed.

Some banks’ price lists have further exemptions beyond the law:

Bank	What it states	Source
ČSOB	In addition, free via SmartBanking once every 31 days, from €50 up to 1.5% of the outstanding principal, outside the 30% limit	FAQ on the product page
Fio banka	The 1% fee above the 30% limit applies only if the money comes from another loan, such as refinancing elsewhere	Price list effective from 2 April 2026; a new price list with actual costs of at most 1% applies from 27 November 2026

Tatra banka, ČSOB, mBank and 365.bank state actual costs of at most 1% outside the exemptions. Check the other terms of your contract with your bank.

The out-of-date 20% rule

Many articles, including older texts by banks, still say you can repay 20% once a year free of charge. That no longer applies. Under the current Section 18 it is 30% of the principal per calendar year, at most once per calendar month. If you come across a different figure, go by the law and your contract.

How to proceed

1. Find the fixation end date in your loan contract. The bank must notify you of it at least two months in advance.
2. Ask the bank for the exact procedure. For full repayment, ask for the balance as of a specific date and payment instructions. For an extra repayment, ask whether you need to announce it in advance.
3. If you’re repaying when the fixation ends, submit your request at least one month before it ends, if the bank requires one. Otherwise you may miss the free window.
4. Send the payment in the amount and on the date the bank confirmed. Outside the free exemptions, ask for the amount of the costs in advance.
5. After full repayment, ask the bank for confirmation of repayment and the documents needed to remove the lien from the cadastre.

Lower payment or shorter term

A partial repayment reduces the debt. The bank then either recalculates the monthly payment over the same term, or keeps the payment and shortens the term. At the same rate, a shorter term means less interest paid overall, while a lower payment frees up your budget. Your contract and the bank’s procedure decide which option is available. Check before you pay.

You can try out how the payment changes with a different loan amount or term in the mortgage calculator. Enter the outstanding balance and the remaining term.

What to consider before repaying

• Payment protection insurance. With some products, repaying the loan early also ends the linked insurance. The UNIQA terms for Tatra banka’s mortgage payment insurance (Article 16), for example, state this as the ordinary consequence. More in the guide to mortgage payment protection insurance.
• Tax bonus on interest paid. In an example of early termination of a loan, the Financial Administration says the entitlement for previous years remains, but none arises for the year of termination. VÚB likewise says that if you repay in full before the five years are up, you lose the bonus for the year of repayment.
• Refinancing. If you’re repaying with a new loan from another bank, compare offers over the same remaining term and include all switching costs. The NBS recommends this too. Repayment is free when the fixation ends, so it’s worth comparing offers several months in advance. More in the guide to interest rate fixation.
• Selling the property. If you’re repaying the mortgage from the sale of a flat or house, see the guide to selling a flat with a mortgage.