Source: Adobe Stock Author: Redaction Bank channel vs credit intermediation In mortgage origination, financial institutions often face the operational choice between direct acquisition via bank branches or distribution through credit intermediaries. There is no single ideal model, making it essential to assess efficiency, acquisition cost and conversion rate by channel. Direct bank simulation remains a relevant entry point, especially within an existing customer base. However, exclusive reliance on a single channel limits market competitiveness and reduces benchmarking capacity. Indicators such as effective interest rate, associated insurance structure, average term and especially the MTIC (Total Cost to Consumer) are key in comparative evaluation between direct origination and intermediation. Advantages of the intermediation model The use of credit intermediaries allows financial institutions to expand distribution capacity without a proportional increase in internal commercial structure. Intermediaries act as proposal aggregators, concentrating comparative analysis across multiple institutions and forwarding only pre-qualified solutions. This reduces customer acquisition cost and increases opportunity generation efficiency. Another relevant factor is negotiation of commercial conditions. The institutional relationship between intermediaries and banks often provides access to campaigns or differentiated pricing, increasing the competitiveness of submitted offers. In the mortgage segment, variables such as spread, associated insurance and cross-selling of financial products are frequently optimised through this channel. Importance of lead qualification in mortgage lending In a highly competitive market, information quality is decisive. Managing qualified leads allows reduced analysis time and increased conversion rates into approved proposals. The existence of multiple proposals in the pipeline also improves the negotiating power of institutions and intermediaries with banks, enabling optimisation of final conditions presented to the client. Structured comparison between proposals thus becomes a central element in the efficiency of the mortgage origination process. eGO CRM Credit Intermediation in the ecosystem eGO CRM Credit Intermediation plays a strategic role in managing the intermediation channel, enabling centralisation, automation and monitoring of the entire mortgage origination cycle. Through eGO CRM Credit Intermediation , intermediaries can manage proposal pipelines, organise commercial processes and increase efficiency in converting qualified leads. This operational centralisation improves response times, reduces friction in the analysis process and increases the ability to distribute proposals tailored to each client profile. In the current mortgage lending context, the decision between direct banking channels and intermediation increasingly depends on operational efficiency, market comparison capability and optimisation of final financing conditions.
Source: Adobe Stock Author: Redaction European court decision sets precedent The Court of Justice of the European Union (CJEU) determined that banking institutions cannot apply interest to insurance premiums linked to consumer credit contracts. The decision stems from a case involving a Polish citizen who challenged the charging of interest on the cost of insurance included in the loan. Although it originated from a specific situation, the ruling establishes a broader interpretation, creating case law applicable to similar situations. This framework reinforces the distinction between the various components of credit, clarifying the limits on the application of financial charges by lenders. Difference between credit and associated costs According to the CJEU, the total amount of credit and the total cost of credit for the consumer are distinct concepts and should not be confused. The amount effectively made available to the client does not include additional expenses, such as insurance or other costs associated with the contract. Therefore, amounts intended to cover these costs cannot be considered for the purpose of calculating interest, as they are not directly paid to the consumer. This interpretation aims to ensure greater transparency and balance in contractual relationships. Impact on consumer credit contracts The decision has relevant implications for the financial sector, particularly in consumer credit contracts that include mandatory or associated insurance. Banks can no longer apply interest rates to these amounts, which may change how products are structured. For consumers, this guidance represents increased protection, helping to prevent undue charges and promoting greater clarity in financing conditions. The decision also reinforces the need for stricter practices aligned with European rules in the banking sector.
Source: Adobe Stock Author: Redaction IRS with millions already refunded The Finance Ministry has already paid around €164.7 million in IRS refunds as part of the ongoing tax campaign. By 20 April, around 204,000 refunds had been processed and paid, according to data from the Ministry of Finance. IRS continues to be one of the main mechanisms for returning tax to taxpayers, with a high processing volume in this early stage. IRS for 2025 income already totals more than 2.1 million submitted returns. The majority relates to employment income or pensions, reinforcing the importance of IRS in Portuguese household budgets. The IRS refund process runs until the end of June , maintaining pressure on the Tax Authority. IRS assessment and refunds in progress By 20 April, around 745,000 IRS returns had already been assessed by the Tax Authority. Of these, approximately 432,000 resulted in IRS refunds, exceeding €330 million in total value linked to these processes. IRS therefore maintains a high processing pace in this campaign phase. On the other hand, around 93,000 IRS returns resulted in tax collection notices, totalling €46 million. This balance between IRS refunds and tax collection reflects the normal dynamics of the tax system, which settles accounts between the State and taxpayers throughout the assessment process. Deadlines and IRS rules IRS has defined deadlines that taxpayers must comply with, with the tax return submission ending on 30 June. Failure to meet the IRS deadline may result in increasing fines. IRS assessments must be completed by 31 July and IRS refunds paid by 31 August. There are also specific IRS rules, such as no refunds for amounts below ten euros and automatic offsetting of tax debts through IRS refunds. Thus, IRS not only returns amounts to taxpayers but also settles debt situations, reinforcing its central role in annual tax management.
Source: Adobe Stock Author: Redaction Country among the EU best performers Portugal stood out in 2025 by joining the small group of five European Union countries with a budget surplus, according to Eurostat data. The country recorded a positive balance of 0.7% of GDP, placing it in the EU top 5 in a year in which most Member States posted deficits. This result confirms the positive evolution of public finances and reinforces performance in the European context. The 0.7% surplus places Portugal among the few countries with a positive balance, alongside Cyprus, Denmark, Ireland and Greece. The presence in the EU top 5 highlights fiscal consolidation and public finance balance in a European environment still pressured by high deficits. Public finance consolidation in Portugal The trajectory of public finances in Portugal has been marked by continuous improvement. After a deficit in 2022, the country moved to successive surpluses, reaching 0.7% of GDP in 2025. This evolution reinforces Portugal’s position in the EU top 5 in terms of fiscal performance. The positive balance results from a combination of economic growth and controlled public spending. In 2025, state revenue exceeded expenditure, allowing the surplus to be maintained and consolidating Portugal’s presence in the EU top 5, in a scenario where most European countries remain in deficit. Economy and fiscal balance The Portuguese economy reached a GDP of over 306 billion euros in 2025, contributing to the strengthening of fiscal balance. This growth helped reduce the weight of public finances and sustain the surplus that places Portugal in the EU top 5. Despite the positive performance, the gap between revenue and expenditure remains narrow, making the surplus sensitive to economic fluctuations. Even so, Portugal remains one of the few countries in the EU top 5 with a positive budget balance. Public debt and European context Alongside the surplus, Portugal continued to reduce the weight of public debt, which fell to 89.7% of GDP in 2025. This evolution reinforces the performance supporting Portugal’s position in the EU top 5 in fiscal terms. In the European context, most Member States recorded significant deficits and rising debt, with several countries above the 3% deficit threshold. This scenario further strengthens Portugal’s position in the EU top 5, in an environment marked by widespread fiscal imbalances.
Source: Adobe Stock Author: Redaction Mortgage interest rate rises again The mortgage interest rate stood at 3.088% in March, recording the first increase since January 2024, according to INE. This evolution of the mortgage interest rate represents an increase of 0.9 basis points compared to February, signalling a slight reversal of the previous trend. Even so, the behaviour of the mortgage interest rate remains relatively stable when analysed over a broader timeframe. In the most recent contracts, the mortgage interest rate moved in the opposite direction, falling to 2.830%, reflecting a reduction of 4.1 basis points. This difference between total contracts and recent contracts shows that the evolution of the mortgage interest rate continues to be heterogeneous in the market. Average mortgage payment increases The average mortgage payment rose to 402 euros, up 5 euros from the previous month. Of this average mortgage payment, around 196 euros correspond to interest and 206 euros to capital repayment. In the most recent contracts, the impact of the mortgage interest rate is more significant, with an average payment of 700 euros, reflecting a monthly increase and a strong year-on-year rise. The evolution of the mortgage interest rate therefore continues to directly influence household monthly costs. Mortgage debt increases The average outstanding mortgage capital rose to 77,078 euros, reflecting monthly growth. This increase in mortgage debt follows the dynamics of the mortgage interest rate, which continues to impact the total cost of financing. In the most recent contracts, the average outstanding amount reached 175,838 euros, showing higher exposure to financing and to the evolution of the mortgage interest rate. Housing purchase shows mixed trend In the housing purchase segment, the mortgage interest rate rose to 3.086% in total contracts, while in recent contracts it fell to 2.823%. This difference confirms that the evolution of the mortgage interest rate is not uniform between older and newer portfolios. Despite the occasional increase in the mortgage interest rate, recent contracts show some relief, reflecting a gradual adaptation in the financing market.
Source: Adobe Stock Author: Redaction Registered unemployment falls again Registered unemployment at IEFP fell again in March, reflecting the resilience of the labour market in Portugal. At the end of the month, there were 295,756 unemployed people registered, a lower figure than in the previous month and in the same period last year. According to IEFP data, registered unemployment decreased by 10.2% year-on-year and 3.1% month-on-month. This trend confirms the downward path of registered unemployment, despite economic challenges, showing gradual improvement in access to employment. Falls across all regions The reduction in registered unemployment was widespread across the country. On a yearly basis, all regions recorded declines, with the North, the Azores and Madeira showing the most significant drops. Compared with the previous month, registered unemployment also fell in all regions, with the Algarve recording the largest monthly decrease. These figures show a consistent recovery in the labour market across several areas of the country. Sectors and job vacancies By sector, registered unemployment fell more sharply in agriculture, followed by the secondary sector and services. This reflects a broad improvement in the labour market, although at different speeds across sectors. At the same time, the number of job vacancies increased, surpassing 16,000 at the end of March. This growth in opportunities reinforces the downward trend in registered unemployment and indicates greater dynamism in labour demand in Portugal.
Source: Adobe Stock Author: Redaction The credit intermediation sector has been gaining relevance in an increasingly demanding and competitive economic context. More than just a link between clients and financial institutions, it now plays a consultative role, where the ability to analyse, advise and personalise has become decisive. In this context, the real value of intermediaries is not only in finding financing solutions, but in building safer, better adjusted and more sustainable financial decisions for each client. The new positioning of the credit intermediary Market evolution has profoundly changed the role of the intermediary. Clients are more informed, more demanding and more sensitive to the impact of their financial decisions. This requires a clear shift in approach: from process executor to decision consultant. In this new context, the intermediary stands out through the ability to: Interpret complex financial realities Simplify credit options and scenarios Support the client throughout the entire process Build trust through consistency in advice The relationship is no longer transactional but continuous. Personalisation as a real differentiation factor In a market where access to credit is increasingly easier, the difference is no longer in “having access”, but in “how decisions are made”. Personalisation has become the main differentiating factor between professionals. Each client presents a unique context, and standardised solutions tend to fail in creating real value. A personalised approach allows: Adjusting proposals to the client’s real financial profile Improving approval and completion rates Reducing future default risks Strengthening trust and long-term relationships This is where market reputation is built. Financial literacy as a competitive advantage Financial literacy is no longer just a social contribution. In intermediation, it has become a strategic tool. Clients who better understand the impact of their decisions are faster to decide, more confident in the process and more receptive to advice. For the intermediary, this translates into: Less friction in the sales process Higher perceived credibility Better client experience Higher referral rates Financial education is, in practice, a business accelerator. Mortgage credit and refinancing: a moving market Mortgage credit remains the main area of activity in the sector and also one of the most dynamic. Interest rate volatility and changing market conditions have created a growing need for refinancing and contract optimisation. For intermediaries, this represents a continuous opportunity to create value through: Identifying better market conditions Restructuring existing credit Supporting decisions between alternative scenarios Simplifying processes that would be complex for the client More than a product, it is a continuous financial management cycle. Operational efficiency and business scaling As the volume of processes increases, maintaining quality in client follow-up becomes a critical factor. Operational efficiency is no longer just an internal issue; it directly impacts client experience and business profitability. In this context, solutions such as eGO CRM Credit Intermediation play a structuring role in intermediaries’ operations, by centralising information, organising credit processes and enabling more controlled management of the credit lifecycle. The most competitive intermediaries are those who can: Better organise and control credit process flow Reduce repetitive and administrative tasks Maintain clear visibility over each client’s status Ensure consistency in follow-up This internal structure is what allows scaling without losing quality. Technology and sector evolution Technology has played a central role in this transformation, enabling greater organisation, control and efficiency across all stages of the intermediation process. Solutions such as eGO CRM Credit Intermediation emerge in this context as operational support tools, allowing intermediaries to centralise information, automate processes and improve responsiveness to clients. Rather than replacing the intermediary’s role, these tools strengthen it, freeing up time for what truly creates value: analysis, advice and client relationships. Conclusion Credit intermediation is evolving towards an increasingly consultative model, where success depends less on product access and more on the quality of decisions made with the client. Personalisation, financial literacy and operational efficiency are now the pillars defining the most competitive professionals in the sector. In a maturing market, differentiation is no longer in what is offered, but in how value is delivered throughout the entire credit lifecycle.
Source: Adobe Stock Author: Redaction Euribor rate falls to three, six and 12 months The Euribor fell this Thursday across the three main maturities, reinforcing the adjustment trend in interbank markets. The three-month Euribor fell to 2.238%, remaining below the six- and 12-month rates. The six-month rate stood at 2.453% and the 12-month rate at 2.723%. The evolution of the Euribor confirms a slight decline compared with the previous session, with a stronger impact in the short term. In the case of the three-month rate, the Euribor fell by 0.002 points, while the six-month rate lost 0.015 points and the 12-month rate fell by 0.033 points. These movements reflect the most recent behaviour of the European money market. Euribor six-month rate maintains leadership in mortgage lending The six-month Euribor continues to be the most used rate in Portugal in variable-rate home loans, representing around 39.18% of the stock of loans. Despite the recent decline, the Euribor remains the dominant benchmark in this segment. According to recent data from Banco de Portugal, the 12-month Euribor represents 31.73% of loans, while the three-month rate accounts for 24.79%. This distribution shows the ongoing relevance of the Euribor in mortgage contracts in Portugal, especially in the intermediate maturity. The evolution of the six-month Euribor is particularly relevant for many households, as it directly influences monthly payments in most variable-rate contracts. ECB and outlook for Euribor developments The Euribor’s trajectory is directly linked to the decisions of the European Central Bank. At the latest monetary policy meeting, the ECB kept interest rates unchanged for the sixth consecutive time, following a cycle of cuts that began earlier. This stability contributes to the recent moderation of the Euribor, although markets remain attentive to upcoming decisions. The next ECB meeting could be decisive for the future evolution of the Euribor, especially at longer maturities. The monthly average of the Euribor in March recorded increases across all three maturities, although more pronounced in the six- and 12-month tenors. This behaviour reinforces the controlled volatility of the Euribor in a context of adjustment in European monetary policy. Euribor rates continue to be calculated based on the average rates at which 19 eurozone banks are willing to lend to each other in the interbank market, reflecting daily liquidity conditions and economic expectations.
Source: Adobe Stock Author: Redaction Support for the transport sector and energy costs The Government has announced a set of measures to respond to the increase in energy costs, with a direct focus on the transport sector. Among the main decisions is the deferral of Social Security contributions for April, May and June for freight transport companies, a measure aimed at easing the pressure caused by energy costs. According to the Executive, this decision aims to strengthen the liquidity of companies most affected by energy costs, in a sector particularly exposed to price volatility. The Government stresses that the goal is to mitigate the impact of energy costs on economic activity and business sustainability. Support measures and impact of energy costs In addition to the contribution deferral, the Government will move forward with direct support of 30 million euros for freight transport, as well as an additional 10 million euros for public passenger transport. These measures aim to compensate for the impact of energy costs on operating expenses. A financing line of 600 million euros has also been created for companies with high energy consumption, strengthening the response to rising energy costs. This support aims to provide stability to companies most dependent on energy in their production processes, reducing exposure to price increases. The Executive highlights that these interventions are part of a continuous strategy to respond to energy costs, monitoring market developments and adjusting measures whenever necessary. Brussels and room to reduce energy costs At European level, the Government will ask the European Commission to extend the regime that limits state aid, with the aim of creating room to reduce energy costs through new fuel tax discounts. This measure aims to allow greater flexibility in fiscal policy, with a direct impact on reducing energy costs for consumers and companies. The Executive considers this flexibility essential to face the volatility of energy markets and the rise in the cost of living. Economic strategy and response to energy costs The Government argues that these measures are compatible with the balance of public accounts, highlighting the recent existence of budget surpluses. According to the Executive, this margin allows action on energy costs without compromising the financial sustainability of the State. In summary, the Government reinforces its strategy to respond to rising energy costs, combining direct support, fiscal measures and negotiation with the European Union, with the aim of protecting companies and families from the effects of energy inflation.
Source: Adobe Stock Author: Redaction Pensions in Portugal: current level and future risks Pensions in Portugal currently present one of the highest replacement rates in the OECD when compared with wages. However, despite this favourable level, pensions in Portugal face significant risks in the coming decades. Projections indicate that pensions in Portugal could fall by between 40% and 50% if structural reforms are not implemented. This scenario raises concerns about the sustainability of pensions in Portugal, particularly in a context where the number of retirees continues to grow relative to the working population. Thus, pensions in Portugal are at the centre of economic and social debate. Ageing and sustainability of pensions in Portugal Population ageing is one of the main pressures on pensions in Portugal. Declining birth rates and rising life expectancy are profoundly changing the demographic balance, directly affecting pensions in Portugal. With more retirees and fewer active workers, pensions in Portugal become harder to finance solely through the public system. This trend puts the future stability of pensions in Portugal at risk, requiring new political and economic responses. In addition, poverty among pensioners already reveals weaknesses in pensions in Portugal, reinforcing the need for adjustments to the current model. European pressure and OECD impact At European level, the evolution of pensions in Portugal is not an isolated case. Many countries face similar challenges due to population ageing and rising pension obligations. Even so, pensions in Portugal stand out for having a replacement rate above the OECD average. Despite this favourable position, projections show that pensions in Portugal could converge to lower levels in the coming decades. In several scenarios, pensions in Portugal approach the European average or even fall below the current standard of financial comfort for retirees. This context increases pressure on pensions in Portugal, requiring structural reforms to avoid further deterioration. Complementarity and the future of pensions in Portugal In this context, the solution increasingly lies in complementing pensions in Portugal with private systems. Strengthening individual savings emerges as a response to the potential reduction of pensions in Portugal within the public system. The adoption of supplementary funds could help stabilise pensions in Portugal, ensuring greater financial security in retirement. However, uptake remains low, maintaining dependence on the state system. Without reforms and greater diversification, pensions in Portugal may become less sustainable, affecting future retiree income and the balance of the social system.
Source: Adobe Stock Author: Redaction Sale of houses in undivided inheritances creates conflict The sale of houses in undivided inheritances continues to generate strong divergence between courts and the Tax Authority. While the Supreme Administrative Court has generally ruled out the taxation of capital gains, the Central Administrative Court South has decided that the sale of specific properties before division is subject to IRS. This recent decision reopens uncertainty for taxpayers, particularly at a time when the Government aims to streamline the sale of inherited properties that have not yet been divided. Recent decision requires payment of IRS The case analysed dates back to the sale, in 2017, of two autonomous units in Lisbon by heirs of an undivided inheritance. The Tax Authority considered that there were taxable capital gains, but the court of first instance understood it to be a transfer of an inheritance share, thus excluding taxation. However, the Central Administrative Court South changed this interpretation. The judges concluded that the heirs sold specific real estate assets and not just their share in the inheritance. Therefore, they considered that there was an onerous transfer of ownership, subject to IRS, reinstating a tax assessment exceeding 71 thousand euros. Difference between inheritance share and specific assets The central issue in this debate lies in the distinction between selling the inheritance share or selling specific properties. While the inheritance remains undivided, heirs hold only an ideal share and not rights over specific assets. According to the Supreme Administrative Court, the sale of that share does not constitute a transfer of real estate ownership and therefore does not generate capital gains. However, when specific properties are sold with identification and defined price, the interpretation may differ. This distinction becomes decisive in determining whether IRS is due or not. Divergence keeps market uncertainty The coexistence of different decisions between courts and the position of the Tax Authority creates a scenario of uncertainty for taxpayers. The tax authority continues to argue that the sale of specific properties in undivided inheritances should be taxed, a position now reinforced by the Central Administrative Court South. The Supreme Administrative Court, on the other hand, has taken a more taxpayer-friendly approach, considering that without division there is no real transfer of ownership. In practice, how the transaction is structured can be decisive: selling the inheritance share or a specific property may determine whether tax is payable. This legal conflict shows the issue is far from resolved and that further disputes may arise.
Source: Adobe Stock Author: Redaction BdP prepares new law for mortgage credit The Bank of Portugal (BdP) wants to require credit intermediaries to present more mortgage credit proposals to consumers, strengthening transparency in the selection process. The revision of the legal framework for credit intermediation aims to ensure that each credit intermediary provides a broader range of mortgage credit offers, allowing a fairer comparison between banks. According to the BdP, the goal is to ensure that consumers have access to more mortgage credit proposals and not just a limited selection of financial institutions. This change in the activity of credit intermediaries aims to reduce the risk of decisions based on incomplete information and increase competition in the mortgage credit market. Lack of comparison in mortgage credit Currently, although each credit intermediary works, on average, with several banks, many mortgage credit agreements are still concluded with only one or two institutions. This reality raises concerns about the true breadth of mortgage credit offers presented to the client. The BdP considers that consumers may be comparing only a small part of the mortgage credit market, which limits their ability to choose. Therefore, strengthening the obligation for credit intermediaries to present several mortgage credit proposals is seen as essential to improve transparency. More transparency in credit intermediation The Bank of Portugal’s proposal includes the possibility for credit intermediaries to be required to present simulations from several banks, up to a defined limit, strengthening comparison in mortgage credit. The idea is to ensure that the client can analyse different mortgage credit options in a clear and balanced way. In addition, the regulator also advocates greater transparency regarding the remuneration of credit intermediaries, including in other types of loans. This measure aims to strengthen trust in the mortgage credit system and reduce potential conflicts of interest in the activity of credit intermediaries. Supervision and new rules in the sector The BdP carries out around 400 annual inspections of credit intermediaries and intends to strengthen its presence across the national territory. This reinforcement of the supervision of credit intermediaries is aligned with the goal of improving the functioning of the mortgage credit market. The legislative review of credit intermediaries also aims to simplify rules, increase qualification requirements and prevent conflicts of interest. With these changes, the Bank of Portugal wants to make mortgage credit more transparent, competitive and accessible to consumers through greater involvement of credit intermediaries.
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