Unscheduled repayment (Sondertilgung) of the DKB loan ► Instructions

Each early repaid Euro will save you interest and will enable you to finish the loan repayment earlier. This way, you will have money for other things in life faster!

Does this sound interesting to you?

This video clip shows how the unscheduled repayment works:

Unscheduled repayment at the DKB step by step

1. Log into your Internet banking

2. Look for the account number of the DKB private loan

Mark the account number (= loan number) and copy it to the temporary memory of your computer.

This is easily done with the mouse:

• Locate the mouse cursor directly in front of the account number,
• click the left mouse button and hold it,
• move the mouse until after the last digit of the account number and then let go of the mouse button,
• move the mouse cursor over the blue marked area and click the right mouse button.
• A small menu will open, in which you choose the option Kopieren (Copy).

Now, the account number is saved in the temporary memory of your computer. Alternatively, you could also write it down.

We need the account number for transferring the unscheduled repayment. Either copy and paste or write it down.

3. Change the form for transfers

Open the form for transfers, just like would you do it, if you would transfer money to another person.

An internal transfer, as you might know it from the current account to the credit card account, does not apply to unscheduled repayments of the DKB private loan.

An external transfer must be simulated

• Choose Fremdes Konto (external account).
• Enter your own name in the Empfänger (receiver) field.
• Click with the right mouse button in the field Kontonummer (account number). Again, a small menu will open. Choose Paste and your account number will appear in the field. This approach has the advantage that one cannot make a mistake when entering the 22-digits long IBAN.
• Continue with the transfer form, just as you do with any other external transfers.

The unscheduled repayment is made just like an external transfer – only with the difference that your loan account is the receiver.

4. Done: Unscheduled repayment performed successfully

Please do not get scared, if the outgoing of the transfer amount can be seen immediately, but did not arrive yet on the loan account (Darlehenskonto). The transfer takes place a little delayed, as it is technically an external transfer within the same bank.

Do not get scared!

In my case, the balance of the loan account reduced about half an hour after the transfer. However, the booking day (Buchungstag) is always the same, as the DKB customer service assured on my request. You will not suffer a loss of interest through the transfer of the unscheduled repayment (Sondertilgung).

Benefits of the unscheduled repayment

Through an unscheduled repayment, your loan balance (= your debt) will reduce at the bank. This means that you will finish faster with the repayment (Tilgung) of the loan and pay immediately less interest (Zinsen).

You only pay interest on the borrowed money. So, for every Euro that is repaid early, no interest has to be paid.

How does the unscheduled repayment affect the course of the loan?

The rates will be charged in the same amount from your current account (Girokonto), each month, but the number of months will reduce.

With my unscheduled repayment of Euro 500 from the video (see above), my repayment phase of the loan will be shortened by 2.5 months by calculation, as I had agreed on a loan instalment (Kreditrate) of Euros 200 per month. This agreement remains the same. In practice, the loan will be shortened by two months and the last loan instalment will be only the half of the agreed amount.

The unscheduled repayment is free of charge!

Unscheduled repayments can be performed – at least at the DKB private loan – at any time, as often as you want and any amount. Moreover, the unscheduled repayments are always free of charge at the DKB (= no prepayment penalty)!

Summary and overview

The DKB is an ideal loan bank, if one is planning to reduce ones loan load earlier through unscheduled repayments, because:

• unscheduled repayments are possible anytime
• unscheduled repayments are possible in any amount
• unscheduled repayments are always free of charge
• unscheduled repayments can be performed easily through transfers (see above instructions)

By unscheduled repayments, you save interest and finish your loan early, which, of course, will provide you again with a greater financial leeway.

Further articles about the DKB private loan:

• Part 1: How to successfully apply for the DKB loan
• Part 2: The correct documents for the successful loan application
• Part 3: How the loan is paid
• Loan comparison through calculation tool

What do you think of the possibility of the unscheduled repayment?

PS: 90 % of all borrowers think that the possibility of the fee-free unscheduled repayment is important – however, less than 10 % do actually use it. Be smarter and plan your unscheduled repayments mentally already before taking the loan.