Assignment of claims - Do all banks do this? Can it be changed?

Why should he do that? He has less money from it than from the actual claim. As has already been said, that is common practice.

OK. I better ask here because in the past [Sparkassen] customers have been in such a situation.

that must be a small savings bank if they are changing the clause... you have no negotiating power there

I would say: If you know each other well, something can happen. We are with a Volksbank and wanted to exclude any kind of loan securitization and the transfer of our loan to third parties. They did that, the interest rate rose from 1.25 to 1.29 percent. I found that acceptable. I view securitizations very critically. The house and family notary known to us pointed out a case in Frankfurt, where a builder of a rental apartment complex financed it through a large bank. The loan was resold. It was fully serviced. Only the borrower failed to have the cancellation carried out. Despite the existing cancellation approval, the buyer of the loan, a US financial investor, went to the land register and wanted to seize and liquidate the rental building. It took a strenuous process to fend off this attempt and the case has become a topic of conversation among lawyers. Karsten

OK. I prefer to ask here because in the past Sparkasse customers have been in such a situation.

Before you claim something like that, I ask you for a reliable source as well as the presentation of the complete situation. I think I know which case you are talking about, and I believe that the publicly discussed part only represents part of the truth and that another, not entirely insignificant part, is deliberately not public.

I think in this Frankfurt case the customer still had other outstanding claims. Thus, the bank offset and started to seize assets. That is legitimate, isn't it, or why didn’t he cancel the property? It is his fault after all.