With the classic installment loan, the monthly installments are the same. The rescheduling loan is not an additional financial product, but is generally a standard installment loan used as a rescheduling loan. Use the historically low interest rate on your debt rescheduling loan and get rid of excessively high interest rates! The guide to debt rescheduling! A rescheduling can help here.
A debt rescheduling loan is a new obligation to restructure existing payment obligations of the credit institution or other creditors. The use of a debt rescheduling loan can have different objectives: it can provide more clarity by bundling various loans with possibly different lenders, and it can always be beneficial to the regulated repayment of existing obligations when debt without fixed repayment arrangements (eg the overdraft) into a installment loan be converted with a fixed repayment obligation.
In addition, a reposting can contribute to an interest optimization and / or to a reduction of monthly fees also due to a modified repayment agreement. The term “rescheduling” is used in connection with a contractual interest rate adjustment for a real estate loan, even if the new condition is negotiated with the previous lender; From a financial point of view, however, this is just an interest rate adjustment.
Debt rescheduling of short-term debt is possible at any time without notice. All installment loans concluded before June 11, 2010 may also be terminated at three months’ notice without the substitute bank being able to charge early repayment. For any non mortgage lending concluded after that date, they may be repaid at any time for a prepayment penalty of up to a percentage of the repayment amount.
The repayment procedure is quite simple:
If existing installment loans are replaced, a repayment order and a residual debt confirmation must be submitted to the house bank providing the debt rescheduling loan; The repayment is then carried out itself. Insofar as securities are available for repayment, they are first transferred to the new house bank upon repayment and then, depending on what has been stipulated in the new loan agreement, kept there or released.
If an overdraft facility is to be replaced by the rescheduling credit, this is done by transferring the credit-worth date to the payroll account. The situation is different with the repayment of mortgage-backed real estate loans. These can only be postponed if either the fixed interest period has expired or the lender agrees to the rescheduling.
He is not forced to; In this case, a prepayment penalty may be imposed, which may include the refinancing loss from the repayment and the loss of profits. On the other hand, when rescheduling a real estate loan, it is usually necessary to surrender the collateral provided for the original loan or to re-register a lien for the new lender while at the same time the charges are forfeited.
Because it must be ensured that the rewritten loan is adequately secured at the time of payment, repayment between the credit institutions takes place by way of a trust order. With this trust mandate, the new lender ensures that the old bank can only dispose of the funds from the debt restructuring loan if it either transfers the existing mortgages to the new principal bank or, depending on the arrangement made, cancels them against collection of the transfer amount.
At present, the term debt rescheduling is also used in the context of over-indebtedness of the euro area countries to restructure their existing obligations in the form of partial debt relief and / or other liquidity relief measures. Even in the relationship between a house bank and a private customer such a credit restructuring is conceivable, but from a banking point of view it is then no longer a debt rescheduling loan but a restructuring loan.