DThe groaning about the high interest on disputes is widespread in Germany. Now, given 0.1 percent credit interest, 10 percent debit interest and much more than that, a hammer. If one takes into account that this is a perpetual, daily available loan for customers with a frequently uncertain credit rating, the level of interest rates may be a little more understandable – even on the Auxmoney loan platform, borrowers pay up to 15.9 percent Interest in the year.
But if you are looking for an alternative to high disbursement interest, but you do not want a classic installment loan with a fixed term and a payout amount, you now have an alternative: call-off credit, also known as a framework loan. According to a recent test carried out by the Stiftung Warentest, debit interest rates for the cheapest banks are less than 5 percent. If you are permanently in the dispensary, the foundation recommends this path. However, the form of credit is not yet widespread: not even one in five of the 148 providers surveyed has this in the program.
In the case of call-off loans, the customer, like the checking account, receives a credit line which he can freely dispose of. Interest is due only on the amount used, a term is no longer applicable. The bank can always adjust the interest rate to the market interest rate, but this is no different with the dispo.
The amount of credit lines varies, according to the test, the maximum amounts are between 1,500 and 50,000 euros. But if you do not have a regular income, you will not get a call-off loan, because that is always a requirement. Who is afraid of the fine print, for the Foundation gives the all-clear. In addition to interest, there were no additional costs such as processing fee, provision commission or account maintenance fees.
Interested parties should, however, compare carefully, because the conditions can vary greatly. Also, the interest rates for new customers can be significantly lower than for existing customers. Thus, the Comfort Credit of the VW Bank is initially charged with 2.95 percent, after 12 months but with 6.65 percent effective.
At Deutsche Bank, the interest depends on the creditworthiness of the customer and is between 3.92 and 10.34 percent. Finanztest even advises against a call-off loan from the fintech company Cashpresso: The company demands the highest interest rates with just under 14 percent and is therefore more expensive than any credit line.