Common use of Eligible Borrowers Clause in Contracts

Eligible Borrowers. (11) Eligible borrowers under Estia are either individuals who contracted a mortgage loan or micro businesses and small businesses which received a business loan. The Scheme has common eligibility criteria for both types of borrowers. (12) In addition to the NPE Criteria, borrowers will have to fulfil a set of cumulative means-based criteria to verify their income and debt-servicing capacity (the "Means Criteria"). (a) the total gross annual household income4 of the borrower does not exceed  EUR 60,000 for an applicant and his/her spouse that have at least 4 dependent family members;  EUR 55,000 for an applicant and his/her spouse that have 3 dependent family members;  EUR 50,000 for an applicant and his/her spouse that have 2 dependent family members;  EUR 45,000 for an applicant and his/her spouse that have 1 dependent family member;  EUR 35,000 for an applicant and his/her spouse without dependent family members;  EUR 20,000 for single applicants. (b) the remaining household net wealth of the borrower excluding the main residence (i.e. the household's wealth, other than the main residence, less current borrowings) should not exceed 80% of the MV of the main residence, and in any case not exceed EUR 250,000; and (c) the borrower has been resident in the European Union since 2013. Borrowers will still be deemed to have fulfilled this requirement in the case of (a) one month’s absence abroad, (b) absence for medical reasons, and/or (c) temporary absence for educational purposes. (13) In the case of micro businesses and small businesses, the Means Criteria will be applied both to the small business owner as well as to the legal owner of the main residence, who will assume the responsibility to repay the restructured loan (to the extent that he/she is different from the owner of the small business). The value 4 A “household”, for the purposes of calculating income and wealth, means the income of the borrower (and in the case of the borrower being a legal entity, of its main shareholder), his/her spouse/civil union partner and their children who have not completed 18 years of age if they were living in the same residence as the borrower as of 30 September 2017. A main shareholder means someone controlling more than 50% of a legal entity’s shares. of the business will be taken into account for calculating the wealth of the borrower. (14) In practice, the combination of these eligibility conditions entails that, de facto, only businesses with small size, turnover and balance sheet could be eligible to the Scheme, thus excluding large companies. Loans granted to micro & small businesses would concern either i) natural persons securing business loans with their main residence (“micro/small businessmen”); or ii) legal entities securing business loans with the main residence of their main shareholder (“micro/small businesses”). Owners/shareholders of larger businesses would not fulfil the Means Criteria, such as the maximum value of the main residence and the maximum household income/wealth of the borrower. (15) The NPE Criteria and the Means Criteria constitute together the "Eligibility Criteria". (16) Borrowers fulfilling the Eligibility Criteria (the "Eligible Borrowers") will benefit from the subsidy, provided that (i) they have submitted an application and (ii) the Financial Institution which has underwritten the respective loans is a Participating Institution in the Scheme.

Eligible Borrowers. (11) Eligible borrowers under Estia are either individuals who contracted a mortgage loan or micro businesses and small businesses which received a business loan. The Scheme has common eligibility criteria for both types of borrowers. (12) In addition to the NPE Criteria, borrowers will have to fulfil a set of cumulative means-based criteria to verify their income and debt-servicing capacity (the "Means Criteria"). (a) the total gross annual household income4 of the borrower does not exceed  • EUR 60,000 for an applicant and his/her spouse that have at least 4 dependent family members;  • EUR 55,000 for an applicant and his/her spouse that have 3 dependent family members;  • EUR 50,000 for an applicant and his/her spouse that have 2 dependent family members;  • EUR 45,000 for an applicant and his/her spouse that have 1 dependent family member;  • EUR 35,000 for an applicant and his/her spouse without dependent family members;  • EUR 20,000 for single applicants. (b) the remaining household net wealth of the borrower excluding the main residence (i.e. the household's wealth, other than the main residence, less current borrowings) should not exceed 80% of the MV of the main residence, and in any case not exceed EUR 250,000; and (c) the borrower has been resident in the European Union since 2013. Borrowers will still be deemed to have fulfilled this requirement in the case of (a) one month’s absence abroad, (b) absence for medical reasons, and/or (c) temporary absence for educational purposes. (13) In the case of micro businesses and small businesses, the Means Criteria will be applied both to the small business owner as well as to the legal owner of the main residence, who will assume the responsibility to repay the restructured loan (to the extent that he/she is different from the owner of the small business). The value 4 A “household”, for the purposes of calculating income and wealth, means the income of the borrower (and in the case of the borrower being a legal entity, of its main shareholder), his/her spouse/civil union partner and their children who have not completed 18 years of age if they were living in the same residence as the borrower as of 30 September 2017. A main shareholder means someone controlling more than 50% of a legal entity’s shares. of the business will be taken into account for calculating the wealth of the borrower. (14) In practice, the combination of these eligibility conditions entails that, de facto, only businesses with small size, turnover and balance sheet could be eligible to the Scheme, thus excluding large companies. Loans granted to micro & small businesses would concern either i) natural persons securing business loans with their main residence (“micro/small businessmen”); or ii) legal entities securing business loans with the main residence of their main shareholder (“micro/small businesses”). Owners/shareholders of larger businesses would not fulfil the Means Criteria, such as the maximum value of the main residence and the maximum household income/wealth of the borrower. (15) The NPE Criteria and the Means Criteria constitute together the "Eligibility Criteria". (16) Borrowers fulfilling the Eligibility Criteria (the "Eligible Borrowers") will benefit from the subsidy, provided that (i) they have submitted an application and (ii) the Financial Institution which has underwritten the respective loans is a Participating Institution in the Scheme.