Financing without prepayment options due to annuity loan

Hello everyone,
at one of our consultant appointments we were told that we should consider giving up the special repayment option. Since we have an annuity loan with a fixed interest rate over 25 and 30 years, this is a good option for us. With 30 years, it would be a full repayment loan for us.

The consultant mentioned that after 10 years of term, we can terminate the entire loan at any time. However, we could also make partial terminations at any time, each with a notice period of 6 months.

Can someone confirm this for me? I can't quite make sense of it from the legal text :)

Thank you very much

Yes, that is the case. Prepayment rights are only interesting for the first 10.5 years; after that, everyone has them anyway due to the termination rights.

Details can be found in Par. 489 of the Building Code.

489 Building Code

Yes, unfortunately you cannot deduce from it whether you can carry out multiple partial terminations. Basically, a partial termination of, for example, €1,500 every year.

That would be new to me :-) We also have a full repayment loan over 30 years and I would still be reluctant to waive the special repayment right... It simply gives you a certain flexibility to repay the loan faster. 5% was also free of charge at our house bank, as was the right to have the special repayments made paid out again 3 times during the loan term.

That would be new to me :) We also have a full repayment loan over 30 years and I would still be reluctant to give up the special repayment right... It simply gives you a certain flexibility to pay off the loan faster. 5% was also free of charge at our house bank, as well as the right to have the special repayments made during the loan term paid out again 3 times.

Since we will probably decide on a full repayment loan (30 years), a special repayment is currently unprofitable for us, since otherwise we could have agreed on a shorter fixed interest period. In 20 years, of course, it could look different if we are glad to be able to eliminate the position and possibly have a certain amount of money left over for repayment, whether fully or partially would then be the question. It basically depends on whether you can partially terminate the loan regularly (after 10.5 years), depending on what your wallet allows...