Because much more effort does not mean follow-up financing. The cost of a banker’s draft should not be an obstacle in the face of these savings. The assignment of the mortgage of the old bank and the description cost at most 1,000 euros. however, a more favorable credit agreement can save many thousands of euros.
If the credit contract expires soon: Get offers!
The second group should make the effort to seek possibilities for. These are all those whose credit agreements to expire. Who does nothing gets a Prolongationsangebot his bank three months before the contract expires? The temptation is great to love the substantially lower interest rate and easy to sign the contract. The old file remains in the closet. The make-up about 40 percent of borrowers that. However, the laziness costs several thousand euros at this point.
For although the bank lowers the interest rate on the current market level, but writes the amortization rate continued easy. In the previous example, we have already seen, resulting in a sluggish repayment of consequences: (almost) been out of interest anything. The loan runs in the length and is hardly less. The borrower should therefore ideally but again looking for about a year before the end of his loan agreement his old file out of the closet and catch a few offers from other banks, if only in order to be able to challenge his former bank.
Who, for example, ten years ago signed a contract with ten years maturity, will have to have paid an interest rate of more than 4 percent. Today there are three percentage points less. With a loan of 200,000 euros will not be 8000 euro interest due in the first year, but only 2,000 euros. 6000 euros less a year, 500 euros less per month. But the low-interest rate is only worth half of the money is not in whole or in large part to increased amortization. Otherwise, credit will continue until the cows come the home day.
At the current interest rate level, however, long-term credit agreements offer. The yield curve has become flatter. That is, interest rates on long maturities have fallen more than those for short maturities. The debtor should also think about a full repayment. These are contracts at the end no outstanding debt remains. The banks reward with a withholding of 0.1 to 0.3 percent.
If the credit is still running five years: Over forwarding, loans thinking
The third group of our consideration needs to go into a little longer. For them, the current credit contract runs from 1 to 5 years. Banks offer forward loans, which make it possible now for a loan agreement in one, complete two or even just five years. For that spreads are due. But they have fallen sharply in the current interest rate environment. Most 0.2 percent per year is not even calculated. However, forward loans are a gamble on the future interest rate trends. In recent years, they have not expected.
Who, for example, three years ago, the loan interest rate of 3 percent at that time for ten years – called historically low – has secured against interest rate premium, which will be angry today. For he is stuck in this loan agreement and must now include interest premium for the early securing the interest level his loan agreement with nearly 4 percent interest compete for ten years, while comparable new contracts currently are had for 1.2 percent.