Are arbitrarily high special repayments legally possible after 10 years?

Good morning everyone,

we are currently dealing with the appropriate financing for our project. Since we will also go to our house bank for this, which only offers longer fixed interest periods than 10 years with combined yields, I wanted to find out exactly how that works. Regardless of my opinion about such constructs, I came across a PDF on Google by searching "kombikredit sinnvoll," which is offered on the site svbo.de. I believe I am not allowed to link it.

Contained in the green box "Ausflüchte der Bausparkassen" is the statement that with a normal bank loan with a fixed interest period of over 10 years, arbitrarily high special repayments are allowed. One only has to announce them at least 6 months in advance.

So far, I only knew about the special termination right, which allows me to terminate the loan with 6 months' notice 10 years after the loan amount has been drawn. But special repayments?

Since higher amounts should be available to us in 10-15 years (gifts or inheritances), which we do not plan for, we could include them in our repayment, even if it goes over the obligatory 5%.

The problem is, I can't find anything else about it, does anyone know more about this?

Thanks!

No, you are already correct there. Special termination right after 10 years. That has nothing to do with contractually agreed special repayments in the first 10 years or afterwards.

Yes, indeed. But the article states it as if, in addition to the special right of termination, it is also legally established that you can make special repayments of any amount after 10 years. And I've never heard of that before, but I would find it extremely convenient if it were the case.

This certainly refers to the special right of termination. You can therefore terminate the contract, then conclude a new financing. And thus you indirectly have the possibility of special repayments in any amount, since you do not have to refinance the entire outstanding amount.

OK, I suspected something like that, because otherwise I would definitely have found more about it on the internet. Thanks!

I quote from the article (Finanztest 02/2014): "Unlimited special repayments are usually only possible with combination returns after allocation of the building savings contract, for example in ten years. This is nothing special: When ten years have passed, the customer can also make unlimited special repayments on a bank loan with an interest rate lock-in of more than ten years. He only has to announce them six months in advance."

Probably an unfortunate formulation ...