Today, more and more consumers are turning to renewable energies to save their budget. Did you know? In the Walloon Region, the eco-pack formula allows you, under certain conditions, to benefit from an installment loan at 0% interest to finance energy-saving works. Our lawyer analyzes this resounding success formula for you.
Ecopack concept – installment loan
The installment loan “ecopack” is a loan at 0% interest which allows the realization of one or more bouquets of sustainable renovation works on any housing located in Wallonia and intended primarily for housing.
The annual percentage rate (APR) is fixed for the duration of the loan. The loan repayment period is taxed and depends on the overall taxable household income:
- less than $ 18,700 (cat. 1): maximum duration of 12 years
- between $ 18,701 and $ 34,200 (cat. 2): maximum duration of 10 years
- between $ 34,201 and $ 51,300 (cat. 3): maximum duration of 8 years
- between $ 51,301 and $ 93,000 (cat. 4): maximum duration of 5 years
These incomes are increased by $ 2,500 per dependent child with a maximum of two dependent children, without exceeding the ceiling of $ 93,000.
Conditions for granting
The borrowable amount must be a minimum of $ 2,500 (TVAC) and a maximum of $ 30,000 (TVAC).
In addition, the initial application for a building permit must be made before December 1, 1996.
The accommodation must be healthy and located in Wallonia. You cannot exercise a professional activity there without the prior written agreement of the lender, in this case SWCS.
You must be either the owner or the tenant of the accommodation. It is imperative that the accommodation is already occupied by the applicant at the time of the application for the loan.
The applicant must be at least 18 years old and the overall taxable household income cannot exceed $ 93,000.
In addition, the applicant cannot be registered with the Central Credit Office for individuals as a defaulting debtor.
The applicant will not be required to take out outstanding balance insurance, but this may be financed by the loan. However, the accommodation must be covered by fire insurance.
Households which have already taken out a loan at one of the social credit counters will be able to benefit from an Ecopack loan only one year after the opening of the first loan.
Conditions linked to the works
The ecopack loan must finance at least a bouquet of two works included in the list of financeable works.
The work must be carried out by a contractor and be carried out within two years of the granting of the loan.
The regulations offer either a package of two energy performance jobs, or a package of one energy performance job and one other job.
The following are considered energy performance works: thermal insulation of the roof, walls and floors; replacement of frames or glazing; placement of a ventilation system; installation of a natural gas, propane or fuel oil condensing boiler; the installation of a heat pump or a biomass boiler; connection to a heating network; placement of an instantaneous water heater.
Any loan request must be submitted to the Ecopack call center and does not incur any costs for the applicant.
The funds are released as the work progresses each time the borrower submits to the SWCS a request for release of funds accompanied by supporting documents (pro forma invoices, proof of deposit).