Provision interest - When does the interest-free period begin?

Hello everyone,

despite searching the internet, one thing about the provisioning interest is still not entirely clear to me:

From when does the agreed interest-free provisioning period of xx months for a construction financing loan usually begin?

a) from the day of signing the contract

b) from the agreed date of the first usage of the loan/first loan installment?

Best regards and thanks for your information!!

[Projekt 2012]

If I am correctly informed, the deadline starts when the loan is approved and signed by all parties. If it were to start only from the first disbursement, that would be nice...

....but the money is actually only "made available" from the day on which the first partial payment is due. Until then, the bank can still "manage" it....and even earn interest on it in other ways....

Regards

Project 2012

The period begins on the day of signing the loan agreement. Exactly then, the bank will initiate the refinancing calculations and from that very day the loan will be available on call. In the loan agreement, one could specify from which date construction interest will be charged.

Hello,

so I have one year free of commitment interest! The loan is provided and drawn as needed. But commitment interest is only due next year, I have agreed this with my bank!

Hello,

thank you for the information. I have three additional questions that I would be interested in:

1) Did the 12 months "cost" an interest surcharge?
2) Are the commitment interest charges calculated on the entire loan amount or on the undrawn portion of the loan?
3) Are the interim loan interest payments calculated on the entire loan amount or on the already drawn portion of the loan?

Thank you and best regards

Projekt 2012