Building financing Premature debt restructuring. What causes you headaches in mortgage lending? Early rescheduling? There are two possible scenarios: a rescheduling during the fixed interest period or rescheduling of your mortgage lending: all information and tips at a glance.
Hello, as I recently completed a debt restructuring of a construction loan, I can help you a little. Otherwise, you can only terminate your loan prematurely if you sell your property or want to use it to secure another loan. Therefore, debtors wishing to reschedule a construction loan should always check the notice period for the fixed interest period.
An early rescheduling of a property can make sense for this reason
Many consumers go for a loan to finance their own construction projects or the purchase of real estate. This takes a certain period of time and can be postponed, taking into account a few points prematurely. Why should you even change your debts? A rescheduling of mortgage lending or own property can take place for various reasons.
The additional costs should be taken into account when rescheduling debts, so that a correct calculation is possible. Without taking into account the expenses incurred, it may be that the new loan is not cheaper than the previous one, and rescheduling has no advantage but has a detrimental effect.
To terminate an existing loan without a prepayment penalty
To which the credit institution is entitled according to, several facts must be taken into account. If the fixed interest period of the old loan expires soon, the consumer can already look for a favorable rescheduling of debts about 4 months earlier.
But even if the term of at most 40 months does not expire, follow-up financing can already be successfully completed. In this way, the borrower receives a favorable interest rate for a later granted document.
This is referred to as a forward loan and can be used to pay off a debt that should be postponed at the earliest after 12 months. A bond with a fixed interest rate of more than 10 years can be terminated prematurely after 10 years, without any compensation being paid to the corresponding house bank.
When does it make sense to repatriate your debts?
A rescheduling plan within the fixed interest period or before the end of the 10-year period makes sense only in very few exceptional cases, as a premature prepayment penalty is due and the credit company must agree to the termination. But in reality, the credit institutions are not ready for such an Approach to tolerate, and the borrower gets into some problems.
Here is also a period of 6 months to consider. In addition, credit institutions often demand far too much compensation, so that the customer or the customer a lengthy legal dispute arises if he does not want to pay. Credit institutions provide different credit models for debt restructuring. Assuming that there is still a residual debt of USD 50,000 to pay, then the consumer can use an online calculator and identify the individual offers with the conditions.
For example, the consumer can reschedule the debts of Good Credit and, for a loan of USD 50,000 and a period of 72 months, pay an annual interest rate of 5.25% and a fixed lending rate of 4.13%, thus verifying the creditworthiness of the creditworthiness check.