Circumstances can change
If your circumstances change, or if the original basis for taking a loan changes, it could be necessary to request a change of terms. Here you can find information about the different changes you can apply for. In some cases, you will need to submit a consent from a second lien creditor, or you might need to go through credit assessment.
All changes will be notarized.
Changes to your current loan
Fund members who currently have a loan with Brú Pension Fund can apply to change the original terms of the loan - also called a loan modification. Depending on the application, you may have to go through a credit assessment and submit the required documents. Applications can also be found on Brú's application website (my pages).
Application for a Temporary Suspension of Loan Payments
Application for Extending a Loan Term
Application for Shortening a Loan Term
Application for Changing Fixed Indexed Interest Rate to Variable Indexed Interest Rate
Application for Changing Variable Indexed Interest Rate to Fixed Indexed Interest Rate
Application for Changing Equal Payments to Equal Installments
Application for Changing Equal Installments to Equal Payments
Application for Changing Non-indexed Interest Rate to Indexed Interest Rate
General changes to loans
Change of lien priority
Veðleyfi: A loan borrower can request that a loan from a third party moves forward in the order of lien priority. In that case you need to apply for a Change of Lien priority (veðleyfi).
Apply for Change of Lien Priority
Skilyrt veðleyfi: Loan borrower can request that a loan from a third party moves forward in the order of lien priority, with the condition that Brú Pension Fund's loan will be paid in full. In that case you need to apply for a Conditional Change of Lien Priority (skilyrt veðleyfi).
Porting a loan
A loan borrower can choose to move their mortgage to a different real estate property when a property is sold and another property purchased (if Brú Loan Policies allow).
You must submit a purchase agreement for proof of purchase and any outstanding balance for that property for the application to be valid.
Solutions for payment difficulties
If you are experiencing difficulties with your loan payments, we have various solutions. We emphasize our ability to assist loan payers to prevent defaults.
Common solutions
- Extending the duration of the loan.
- Postponing payments of instalments and indexation.
- Defaults and other costs are added to the loan principal.
- Payment arrangements changed, that is, from equal installments to equal payments.
Application for Temporary Suspension of Loan Payments
Specific solution
- You can request a temporary default agreement in which you agree to settle the defaults over a specific time. Please contact Brú Pension Fund for more information: lanamal@lifbru.is or Tel: 540-0700
In cases of substantial defaults, we advise you to contact an advisor at Debtor’s Ombudsman (Umboðsmaður skuldara).