How a "Bausparvertrag" can help you avoid high interest rates for refinancing
Worried about the future interest rate on your mortgage? We have some solutions that can minimize your interest rate risk!
Written by
Dr. Chris Mulder
Published on
Nov 29, 2022
Are you worried about interest payments on your mortgage ballooning after your fixed interest rate period expires? There are some good options that can help you minimize the risk of higher interest rates.With a so-called Bausparvertrag you can lock in your interest rate in a very attractive way, when your fixed rate ends in 6-10 years.
If you need to refinance after a longer period you are better off saving in the form of a Private Pension Plan. You are likely to save more that way and can use the proceeds to pay-off your mortgage or let the pension plan run and then use it for your pension or other plans.
The key points
