Repayment options for risk-averse people

I would spread the risk and proceed situationally. Currently, there is about 0.5% on [Tagesgeld]. Split the amount – 250 euros on [Tagesgeld]. 250 euros on ETF. When 11 months are up, clear out the [Tagesgeld] and make a special repayment, do this as long as the interest on the [Tagesgeld] account is higher than 0.96 – then stop repaying. ETF runs for 7-8 years, then reassess. If it went well, take profits and sell. Put it on [TG] and consider follow-up financing.

Consider that the interest rates of the construction financing fall from year to year, but the interest income rises from year to year...

I know, you mean the right thing or the same regarding the annuity loan: The interest remains the same, it does not fall. The repayment amount increases. There is no income. The repayment rate grows, the monthly installment remains the same. Or do you believe that your repayment decreases from year to year?

Instead of 50:50 savings account to ETF, you could now put everything into ETFs for 5 years and then see how it goes and rather switch to a savings account.

Attention forum police :p
I know, you mean the right or same thing about the annuity loan:
The interest remains the same, it does not decrease. The repayment amount increases. There are no earnings. The repayment rate grows, the monthly installment remains the same.
Or do you believe that your repayment decreases year by year?:oops:

Of course, the interest payment decreases from month to month. The interest rate remains the same and the installment stays the same, the repayment increases.

For the calculation, it does not matter at all whether you have an interest savings of x% over Y years or an interest income of x% (after taxes) over Y years. In the overall consideration (loan + investment), the same final result always comes out. The later a repayment or investment takes place, the less return it naturally generates.

With foreign banks, I would be cautious. Deposit insurance is only worth as much as the motivation and ability of the respective state to fulfill it if in doubt. Cyprus should be a warning example here. High returns do not exist with zero risk.

It will be 2.8% repayment. Payment at 1800 € with 396 € interest

The numbers somehow don’t add up with 0.96% interest.