Plundering the Riester contract - for less need for credit?

Karsten, but if you have already retired in 2022, then you don’t lose much interest through the withdrawal, and the fictitious interest on the housing promotion account is also negligible. As you already say, the stock markets are at all-time highs; personally, I consider significant losses more likely than significant gains from here, but of course, that is just crystal ball reading. In any case, I would find the decision easier in your situation. You could still take advantage of the child allowance by continuing to make contributions after the withdrawal.

Just for completeness or for your information: With my Riester contract, at least 3000,- must remain in the contract for it to continue. This means that if everything is withdrawn, the contract will be terminated.

Just spoke with the German RV. The facts. I am allowed to liquidate or partially liquidate, must leave at least 3000 in, otherwise it would be a contract termination. This is possible. Both options. In case of actual, proven use for the owner-occupied house, no loss of subsidies. My wife is also allowed to liquidate, since both the house and land also belong to her. Karsten

Just spoke with the German RV. The facts. I am allowed to cash out or partially cash out, but must leave at least 3000 in, otherwise it would be a contract termination. That is possible. Both options. With actual, proven use for the owner-occupied house, no loss of allowances. My wife is also allowed to cash out, as both the house and the land belong to her as well. Karsten

I can confirm this. My wife and I have both had our Riester contracts fully paid out, although 2016 has not yet been settled. We were glad to get out of a rather poor investment this way without any damage. The money is paid out including the allowances, and the contract itself can simply be suspended without contributions. So it is not a contract termination (otherwise the allowances would have been lost - at least that’s how I understood it). The Zfa had to approve beforehand, of course – for that we needed the purchase contract for the house.

So, the Riester fish is cleaned. Thanks to very good advice from a nice lady at the DRV, we decided as follows: my wife, as the indirect subsidy recipient, continues to riester as before. I, as the direct beneficiary, am taking out 18 thousand and leaving just over three in, continue to contribute so that my wife’s contract is not at risk. The ratio of contributions to expected pension is also better with hers. I then filled out the forms and submitted them to the ZfA, and after submitting some additional building invoices, it was approved. I then copied the approval and sent a letter with the approval to my PB insurance, asking them to release the 18 as soon as possible. They confirmed this with the postal receipt yesterday. So I expect the money in the coming days. The housing promotion account will then be set up stante pede; later taxes will have to be paid. But we will manage that. It wasn’t too difficult. Thanks to everyone who gave tips. Karsten