Borrowing FAQ

A-TAX is paid out of its gross salary. It is usually your employer who submits the calculation of your SKAT based on the information they have about you. They also pay your tax at the right place and time, so you don’t have to do it yourself.

repayments

repayments

If you have incurred debt, then you must also repay it. This can be done either monthly or quarterly. A repayment corresponds to the debt divided by the number of maturities, plus interest for the period.

When borrowing money, the current repayment of the debt will be less in the beginning, the interest is always greatest in the beginning. The more installments you get paid, the more you get paid off on the debt, and the interest rate also falls.

Repayment Process

Repayment Process

Here you can see all installments throughout the loan term. It is a calculated course shown in an amortization plan. Residual debt, interest and repayments can be seen on the plan for each term.

Installment Freedom.

You can get interest on some loans. That is, you stop the repayments on the debt, but pay the accrued interest for the period on an ongoing basis. The term of the loan does not change, so when the repayment period expires, you have to pay the entire loan in a shorter time. That is, you get a higher repayment in the remaining term of the loan than you would otherwise have done without the repayment period.

share Mortgages

share Mortgages

This is a type of loan you use when buying a cooperative housing.

An annuity loan means that you pay off the same installment throughout the term of the loan. The service includes repayments, interest and contributions on the loan. At the beginning of a loan, the repayments will be lower as the interest rate is calculated from the principal of the loan.

Bank loans

A bank loan is typically referred to as a consumer loan. Often, interest rates are quite high on a consumer loan. The interest rate can be adjusted in your favor if you have something that you can provide as a security guarantee. A security guarantee can be real estate, or the value of a car, or you can have others bail you.
If you are good at negotiating, you can also lower interest rates, but often you will never get below 10% on a consumer loan.

Bank switching

Bank switching

A bank transfer can save you many thousands of dollars, so you should not be afraid to look for a new bank that can offer you lower interest rates or other benefits that you can save money in the long run.
However, there are some things to be aware of when changing a bank. You can read more about this in our article on “Change of Bank”


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