For instalment loans from June 11, 2010, a legal revision amended regulations offers consumers more transparency in the credit market. The decree adopted by the Federal Ministry of Justice lays down important provisions in the revocation and right of return. The finance portal geld.de explains what this means specifically for the consumer. According to the Stiftung Warentest consumer with entry into force of the new law, can pay tax on faster than lending actually agreed a loan. While customers who intend in the near future should be to record an installment loan is aware of the following changes: bait advertising by banks are no longer legally compliant. In the future they may advertise only with an effective interest rate. In addition, credit institutions must inform their customers in writing about all credit-relevant statutes. Information includes the interest rate, the right of withdrawal, the costs, the possibility of early repayment and the consequences of late payment.
Regarding the payment protection insurance, there is also a Innovation. The premium for a possible residual indebtedness must be included in the effective interest rate. Consumers could cancel their installment loan only after half a year with a notice period of three months. Now you can without any restrictions at all times by their credit agreement to withdraw. For this, the banks are however entitled to claim one percent of the outstanding loan amount for themselves instead of interest profits lack of. If the remainder is less than 12 months, maximum of 0.5 per cent may be levied. The new law is only for credit agreements entered into after June 11, 2010. Subsidised loans, interest-free loans, loans under 200 euro and real estate loans are exempt from the new rules. More information: presse.html Lisa Neumann University first media