Since April 2020, private households and small businesses have been able to repay their loans and defer. That’s over on Sunday.
As part of the Corona aid packages, private households and small companies have been able to exercise their right to deferment by law since April. This regulation ends on Sunday – on February 1st, loan installments continue as before. The banking industry says that the deferred sums of the past ten months do not have to be repaid in one fell swoop. The repayment-free months are attached to the agreed term of the loan agreement.
In Germany, that was the case last June, after only three months. Politicians and regulators saw this measure only as a temporary umbrella. Debt counseling advises borrowers in financial distress to bilateral deferral agreements with their banks. Nobody has to be afraid, so the banking industry. Where it doesn't work out, you can switch from the statutory to a new “private” moratorium.
