What happens to your mortgage if your bank disappears?

The Spanish banking scene has been very busy in recent years with a concentration between financial entities through mergers and acquisitions, some of great caliber such as the one carried out by Caixabank and Bankia.

In this environment, there are thousands of mortgage holders who see how the mortgage they had contracted with their usual bank now belongs to another entity with the consequent worry and uncertainty that this produces.

The first thing to keep in mind is that these types of changes take a long time and the merger between banks is a long and tedious process. In addition, everything that affects the client must be communicated in advance, so at no time will you have unpleasant surprises. . Fortunately, it is a highly regulated sector that increasingly takes more care of the client.

Regarding the conditions, the Bank of Spain makes it very clear, the conditions of the mortgages that have been signed with the bank cannot be changed whatever the circumstances. They must be identical although they can be changed if the client accepts it.

What may undergo some modification are the linked products necessary to obtain the bonuses that may undergo some modifications, the most common is some type of change in home, life or payment protection insurance; pension plans, and credit or debit cards, as well as the checking account you use to pay the mortgage.

The new bank resulting from the merger may charge a commission for maintaining the account, however, any changes to be made must be communicated in advance.

Therefore, the conditions of your mortgage do not change but the linked products probably do, especially those related to your current account, which could even change its number (although for practical purposes this is not a problem).