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This Danish bank has a -0.5 percent interest rate. Source (in Danish language): https://www.jyskebank.dk/bolig/nyheder/realkredit-med-negativ-rente https://www.

• gruez 7y ago
  Excuse me what? If something is already negative interest rate, how would fees and costs (which are also negative) push that to 0?
  • kgwgk 7y ago
    If you look at fees and costs as negative then interest rates on mortgages have always been negative? You have to add them to calculate the effective interest rate paid on a loan.
  • refurb 7y ago
    Cash you get (loan amount) minus cash you give (payments + fees) will give you a net interest rate. With negative mortgage interest rates you might borrow $200K and only pay back $190K, but if there are $10K in fees, then you're net interest rate is 0%.
    • zxcmx 7y ago
      Hm. This is going to be a dumb question but why wouldn't you borrow a billion dollars, spend your 5 million immediately, then pay the rest back in instalments?
      • kebman 7y ago
        Because the bank would never let you borrow a billion dollars unless you could prove to them that you also have the income AND the discipline to service such a loan. For that you'll have to show them quite a bit about your personal economy, which may even include showing them your tax bill. They'll also want papers that prove that they have a stake (mortgage) in what you're loaning money for. On the other hand, if you know your way around law and certain organizational structures, then there are more ways than one to get quite exorbitant loans depending how you go about it. ;)