TAEG
Published 8 November 2026, 22:44
TAEG — Taxa Anual de Encargos Efetiva Global (annual percentage rate of charge, the full yearly cost of a loan)
A single figure that brings together the whole cost of a loan over a year: interest, bank fees, compulsory insurance, the property valuation and the taxes on taking out the loan. This is the figure to use when comparing offers from different banks — unlike the interest rate alone, it shows what the loan will really cost you.
Where you come across it. Choosing a mortgage or a consumer loan, comparing offers from two banks.
A low spread with a high TAEG means the bank is making its money on insurance and fees. The bank must show the TAEG in the FINE — the standard information sheet handed over before signing; ask every bank for one and compare offers for the same term and amount.
Official website: clientebancario.bportugal.pt