Moshe Wilshinsky – Mortgages

Forget that Special on Fries, The Government has a Special on Re-Fis or Zachute for those with Zakaute

Thank you for taking out the time to speak with us today. You mentioned that you have some important information for our readers. So what is the big news?

Moville Mortgage and Finance is offering a new service in response to a new  initiative which is an unprecedented cooperation in recent years between government ministries and private industry. This initiative was organized jointly by the Bank of Israel and the Ministry of Construction and Housing. The government’s goal is to streamline the refinancing of government-backed loans commonly referred to as zakaute. To assist in this process we created a special service to assist Anglo homeowners through the eligibility and qualification process.

What is the objective of this new initiative by the Bank of Israel and the Ministry of Construction and Housing?
For many years zakaut mortgages carried 4% interest rates linked to the madad or more. As market interest rates continued to fall, the government reset its interest rate to 3% linked to the madad on loans issued after 2012. Borrowers who received loans before 2012 are currently paying one percent or more than the zakaut mortgages currently available to those who qualify. The purpose of this initiative is to bring this to the public’s attention and attempt to make the refinancing process easier for those who qualify.

Are there pre-payments penalties  that homeowners need to pay in order to save  that one per centon their zakaut mortgage??
There are no pre-payment penalties on zakaut mortgages.

Are there any requirements that borrowers need to have in order to be eligible for this program?
Yes, there are a number of issues. These include requiring timely mortgage payments, limits on the ratio of the loan amount to the current value of your property and others. We assist our clients with assessing their eligibility.

Is this initiative worthwhile for the average borrower with a Zakaute loan?
Yes it is. You need to factor in the amount you will be saving over the life of the loan. This can be significant. On a monthly basis, this can mean saving NIS 50 to NIS 100 less on your mortgage. (The savings here are obviously based on your current outstanding mortgage.) Who wouldn’t want that much extra in their monthly budget? And when you realize how much that can add up to over the course of ten or fifteen years, that is significant. It is just human nature but one of the biggest obstacles people face is not starting the process because it seems daunting to get the whole thing completed. This initiative is  an unprecedented cooperation in recent years between government ministries and the private industry took a major step to ease the processes. We want to make it that much easier and in the spirit of this initiative have significantly reduced our rates.

What should our readers do to take the first step?
They can call us and use our special Bizness Magazine line, or they can click on the “apply now” tab on our site – fill out the form and write Zachaute in the note at the bottom of the form.

Contact information: Israel: dial: 073-796-2226 and then press the special 711

Bizness Magazine extension. In the U.S., dial: 201-377-3418; in the U.K., dial 208-596-4501. Website is at:






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