Cancellation fee

If a bank accepts the early repayment of a loan, it generally charges a fee for this. This is because the institution incurs costs as a result; these are primarily due to the change in long-term liquidity planning. In social platforms (social networks), enraged citizens repeatedly complain about such a payment. Meanwhile, there is also nothing prudentially wrong with a termination fee. – See bank charges, deduction, facility fee, fixed term, repayment, early, matching, overdraft fee, prepayment risk, prepayment penalty, interim interest. – Cf. BaFin Annual Report 2005, p. 194 (such fees are not objectionable under supervisory law).

Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent!
University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/