Many consumers are afraid of a change of bank because they still have an open credit or a disposition that has been claimed. This is usually not a big problem: even with existing liabilities, a change of banks is quite possible. Anyone who has used the overdraft on an existing checking account has different options in the event of a bank transfer. Often, the new bank takes over the overdraft so that the existing one can easily be replaced. Many borrowers still believe that switching to a new bank is expensive and complicated.
Bank change with current loan and despite disposition – as possible?
Many consumers are afraid of a bank transfer, because they still have a free loan or used dispositif. This is usually not a big problem: even with existing loans, it is quite possible to change the institute. Basis for a possible change of ownership is the settlement of the resulting claims, be it current account liabilities or a current account.
In the case of a bank change, the process for existing receivables is as described below: If the bank changes and a new loan or a new disposition is taken, it must be taken into account that the new conditions can of course be worse than the previous ones. The new bank does not have to accept the “old” conditions.
It depends on the bank whether money or money is generated when the loan is relocated.
For example, an account closure institution charges a fine or penalty for the early repayment of the loan, while the other service provider does not charge a fee. What should I pay attention to when changing the bank account?
In order to ensure a smooth transition, you should first discuss with the new bank which loan amount is required at which date for the repayment of old loans or debts. This prevents the capital from being ready for redemption on time. For this purpose, the exact amount of outstanding claims should be clarified with the previous lender.
In addition, it should be clarified whether prepayment penalties for early repayment can be avoided. In general, the new provider needs some documents to approve the loan, such as a proof of income and credit bureau information. A bank change can cause problems if either the new loan or disposition is not available on time, or if the early lender refuses to pay the loan early.
For example, banks do not have to agree on early repayment of real estate loans without agreed special repayments. Nonetheless, a positive conclusion can be drawn from the fact that the change of bank usually proceeds smoothly, even with an existing loan or a disposition, if one talks with both sides.