[{"data":1,"prerenderedAt":234},["ShallowReactive",2],{"content-page:en:topics\u002Floan-installment":3,"optimized-image:{\"src\":\"\u002Fimages\u002Flegacy\u002Fmaxda\u002Fthemen\u002FKreditraten\u002Fimage-thumb__1020153__auto_1f891bd5eb142807016c2634ecc9a380\u002F02_wie_hoch_raten.png\",\"preset\":\"default\",\"widths\":[640,768,896,1024,1280,1536,1792,2048],\"formats\":[\"webp\"],\"quality\":75,\"fit\":\"cover\"}":210,"optimized-image:{\"src\":\"\u002Fimages\u002Flegacy\u002Fmaxda\u002Fthemen\u002FKreditraten\u002F03_viele_kleine_darlehen_unschulden.png\",\"preset\":\"default\",\"widths\":[640,768,896,1024,1280,1536,1792,2048],\"formats\":[\"webp\"],\"quality\":75,\"fit\":\"cover\"}":223},{"page":4,"alternates":205},{"id":5,"title":6,"asideNav":7,"backLink":17,"body":20,"description":189,"extension":126,"hero":190,"hidePageHeader":193,"locale":194,"meta":195,"navigation":193,"pageKind":196,"path":197,"seo":198,"seoDescription":199,"seoTitle":200,"slug":201,"stem":202,"translationKey":203,"__hash__":204},"pages\u002Fpages\u002Fen\u002Ftopics\u002Floan-installment.md","Loan Installments",[8,11,14],{"href":9,"label":10},"#1","Repayment through monthly loan installments",{"href":12,"label":13},"#2","How high should the loan installments be?",{"href":15,"label":16},"#3","Many small loans should be refinanced",{"href":18,"label":19},"\u002Fen\u002Ftopics","back",{"type":21,"value":22,"toc":179},"minimark",[23,30,34,37,45,48,61,64,69,76,89,94,97,104,111,114,121,128,135,142,147,150,155,162,169,172],[24,25,26],"p",{},[27,28],"span",{"id":29},"1",[31,32,10],"h2",{"id":33},"repayment-through-monthly-loan-installments",[24,35,36],{},"Loans are an important financing tool for an increasing number of consumers. Expensive and unexpected purchases almost always have to be financed through a loan. The borrowed amount can be repaid comfortably. Financing can therefore be used for almost all purchases today and is common in most households.",[24,38,39,40,44],{},"Borrowers fundamentally have different options for repaying loans. In most cases, loans applied for are ",[41,42,43],"strong",{},"repaid with monthly installments over several years",". Consumers can, however, often make extraordinary repayments on these loans.",[24,46,47],{},"Some loans, on the other hand, are repaid in a lump sum at the end of the term. These loans are referred to as interest-only loans. Borrowers then pay only the interest on the loans during the loan term.",[24,49,50,51,54,55,60],{},"Most loans are ",[41,52,53],{},"repaid with monthly installments",". However, borrowers often do not know when applying for instalment loans what the minimum installment they must pay is and ",[56,57,59],"a",{"href":58},"\u002Fen\u002Ftopics\u002Floan-installments\u002Fthe-installment-composition-and-function","what determines the installment for a loan",".",[24,62,63],{},"Banks and financial service providers often specify the installment amount in their calculations or loan offers. However, loan installments are not chosen at random. They depend on different factors and can therefore be influenced.",[65,66,68],"h3",{"id":67},"how-are-loan-installments-composed","How are loan installments composed?",[24,70,71,72,75],{},"Loan installments almost always consist of the interest and principal repayment portions. If an interest-only loan is granted, the installment consists only of the interest portion. ",[41,73,74],{},"A practical example"," illustrates the function of loan installments:",[77,78,79,83,86],"ul",{},[80,81,82],"li",{},"If a borrower takes out an installment loan of EUR 10,000.00 at 6% from a bank and pays a monthly installment of EUR 200.00, the interest portion in the first month is EUR 50.00. The principal repayment is therefore EUR 150.00.",[80,84,85],{},"In the second month, the outstanding balance of the loan will still be EUR 9,850.00. In the second month, of course, only EUR 9,850.00 is subject to interest, so the principal portion of the installment increases.",[80,87,88],{},"Borrowers, however, continue to pay EUR 200.00 per month. Some lenders agree with their customers that the loan installment is reduced by the interest saved.",[24,90,91],{},[27,92],{"id":93},"2",[31,95,13],{"id":96},"how-high-should-the-loan-installments-be",[24,98,99,100,103],{},"Many applicants wonder before taking out a loan how high the installments for the required loans should be. They usually have no sense of what loan installments are reasonable. The loan amount for a ",[41,101,102],{},"personal loan"," should typically be repaid within approximately 5 years.",[24,105,106,107,110],{},"If a ",[41,108,109],{},"loan with a principal amount of EUR 10,000.00"," is therefore applied for at a bank, borrowers have 60 months to repay the loan amount. The loan installments should therefore be around EUR 200.00 (EUR 10,000.00 \u002F 60 months), since interest must be taken into account.",[24,112,113],{},"Consumers can very easily calculate the required loan installments in this way. However, higher installments are also possible, which shorten the term. A loan calculator can help with this. The loan calculator supports the borrower in finding the appropriate term and installments.",[24,115,116,117,120],{},"Since ",[41,118,119],{},"the interest rate influences the loan term",", it also has a major impact on the required loan installments. If a high interest rate is charged, borrowers must accept higher installments or longer terms.",[122,123],"content-image",{"align":124,"alt":13,"provider":125,"size":126,"src":127},"center","none","md","\u002Fimages\u002Flegacy\u002Fmaxda\u002Fthemen\u002FKreditraten\u002Fimage-thumb__1020153__auto_1f891bd5eb142807016c2634ecc9a380\u002F02_wie_hoch_raten.png",[24,129,130,131,134],{},"Costs increase significantly with high interest rates. For these reasons, customers should always try to obtain a favorable interest rate. Customers usually have relatively little room for negotiation with their own house banks. Consumers' options are different on the Internet, however. When comparing providers, consumers should consider the ",[41,132,133],{},"different terms and fees",". Fees should only be charged after the loan agreement has been signed. Terms may include different interest rates, terms and installment payments. Be sure to look at the annual percentage rate of charge (APR) for interest. The APR includes all costs and fees of the loan.",[24,136,137,138,141],{},"You should also consider a ",[41,139,140],{},"credit protection insurance (restschuldversicherung)",". This pays the borrower's outstanding debt if, for example, they die or become unemployed. With this insurance, the family is also protected from these or similar situations and cannot fall into the debt trap. However, credit protection insurance is quite expensive and should be well considered.",[24,143,144],{},[27,145],{"id":146},"3",[31,148,16],{"id":149},"many-small-loans-should-be-refinanced",[122,151],{"align":152,"alt":16,"provider":125,"size":153,"src":154},"left","sm","\u002Fimages\u002Flegacy\u002Fmaxda\u002Fthemen\u002FKreditraten\u002F03_viele_kleine_darlehen_unschulden.png",[24,156,157,158,60],{},"Consumers often take out various loans to finance small items through lenders. All these loans must be repaid with different installments, so customers lose track. It is more sensible to consolidate the small loans into one large loan ",[56,159,161],{"href":160},"\u002Fen\u002Fdebt-restructuring","that is refinanced with only one installment",[24,163,164,165,168],{},"The media very often report that consumers fall into the debt trap. The so-called debt trap arises because customers take out ",[41,166,167],{},"many small loans"," at very low interest rates and the majority of income has to be used to service the many loans. If financial bottlenecks occur and an installment cannot be paid, some providers also offer the option of a payment pause.",[24,170,171],{},"Consumers should avoid taking out small loans. It often happens that customers service five loans with EUR 50.00 each. Another larger loan, for example, is repaid with EUR 200.00.",[24,173,174,175,178],{},"In this case, borrowers should ",[41,176,177],{},"consolidate these loans"," and repay them with EUR 250.00. In this way, the loan installment can be reduced by EUR 200.00. Consolidating various loans also makes sense whenever interest can be saved as a result.",{"title":180,"searchDepth":181,"depth":181,"links":182},"",2,[183,187,188],{"id":33,"depth":181,"text":10,"children":184},[185],{"id":67,"depth":186,"text":68},3,{"id":96,"depth":181,"text":13},{"id":149,"depth":181,"text":16},"Loan installments ► all facts and tips for loan installments ✓ composition of installments ✓ amount of loan installments ✓ loan refinancing ✓ Learn more at MAXDA now",{"ctaHref":191,"ctaLabel":192,"image":180,"lead":180,"title":6},"\u002Fanfrage","Apply for your desired loan now",true,"en",{},"legacy-topic","\u002Fpages\u002Fen\u002Ftopics\u002Floan-installment",{"title":6,"description":189},"Loan installments ► all facts and tips for loan installments ✓ composition of installments ✓ installment amounts ✓ loan refinancing ✓ Learn more at MAXDA now","Loan Installments ▷ all facts at a glance on MAXDA","topics\u002Floan-installment","pages\u002Fen\u002Ftopics\u002Floan-installment","legacy-themen-path-kreditrate","eqCn0uTUGjKL9BNc7N9M-MBzlb1ak-klm-l_5Z0HjhA",[206,209],{"locale":207,"slug":208},"de","themen\u002Fkreditrate",{"locale":194,"slug":201},{"cacheKey":211,"sourceUrl":127,"sourceSha256":212,"width":213,"height":214,"sources":215,"fallback":219},"derived\u002Fimages\u002Fv1\u002Fa830bc1320140ecf8c2e14c8069036aa553403dbd1395aa5134f1ae55549757e\u002Ff739052451a5fab05fc75e24","a830bc1320140ecf8c2e14c8069036aa553403dbd1395aa5134f1ae55549757e",600,200,[216],{"type":217,"srcset":218},"image\u002Fwebp","https:\u002F\u002Fmaxda-staging.fra1.digitaloceanspaces.com\u002Fderived\u002Fimages\u002Fv1\u002Fa830bc1320140ecf8c2e14c8069036aa553403dbd1395aa5134f1ae55549757e\u002Ff739052451a5fab05fc75e24600.webp 600w",{"type":220,"src":221,"srcset":222},"image\u002Fjpeg","https:\u002F\u002Fmaxda-staging.fra1.digitaloceanspaces.com\u002Fderived\u002Fimages\u002Fv1\u002Fa830bc1320140ecf8c2e14c8069036aa553403dbd1395aa5134f1ae55549757e\u002Ff739052451a5fab05fc75e24600.jpg","https:\u002F\u002Fmaxda-staging.fra1.digitaloceanspaces.com\u002Fderived\u002Fimages\u002Fv1\u002Fa830bc1320140ecf8c2e14c8069036aa553403dbd1395aa5134f1ae55549757e\u002Ff739052451a5fab05fc75e24600.jpg 600w",{"cacheKey":224,"sourceUrl":154,"sourceSha256":225,"width":226,"height":227,"sources":228,"fallback":231},"derived\u002Fimages\u002Fv1\u002F06c42af75d689db24416841c8ac49bc662814c26c4c0663e340180c2c26d7f29\u002Ff739052451a5fab05fc75e24","06c42af75d689db24416841c8ac49bc662814c26c4c0663e340180c2c26d7f29",268,536,[229],{"type":217,"srcset":230},"https:\u002F\u002Fmaxda-staging.fra1.digitaloceanspaces.com\u002Fderived\u002Fimages\u002Fv1\u002F06c42af75d689db24416841c8ac49bc662814c26c4c0663e340180c2c26d7f29\u002Ff739052451a5fab05fc75e24268.webp 268w",{"type":220,"src":232,"srcset":233},"https:\u002F\u002Fmaxda-staging.fra1.digitaloceanspaces.com\u002Fderived\u002Fimages\u002Fv1\u002F06c42af75d689db24416841c8ac49bc662814c26c4c0663e340180c2c26d7f29\u002Ff739052451a5fab05fc75e24268.jpg","https:\u002F\u002Fmaxda-staging.fra1.digitaloceanspaces.com\u002Fderived\u002Fimages\u002Fv1\u002F06c42af75d689db24416841c8ac49bc662814c26c4c0663e340180c2c26d7f29\u002Ff739052451a5fab05fc75e24268.jpg 268w",1791352258016]