From this article you will find out what is an early repayment of the loan and how to return the overpayment by interest.
Content
- Law on Early repayment of the loan in 2022: Features
- Early repayment of the loan - advantages and disadvantages: Features
- Early repayment of the loan - how does it affect interest?
- Full partially early repayment of the loan - how to recount a percentage?
- How to calculate the benefits from early repayment of a loan: Calculator
- Overpayment of interest on early repayment of a loan - how to return?
- Does early repayment of a loan on a credit history affect?
- Video: Why do you need early repayment of a loan?
When paying a loan, sooner or later its early repayment may be required. In this case, the question arises - what will happen to the interest? Can they return them? How to do it? Let's figure out all these issues.
Law on Early repayment of the loan in 2022: Features
Until 2011, only a loan agreement could act as an early repayment of a loan. In this regard, many problems arose. Since early repayment is usually reduced, because a person extinguishes a loan earlier, the banks had to lose profit. So that customers could not “harm” the bank’s profitability, in agreements either such an action was prohibited or involved large fines and commissions.
According to Federal Law 284-FZadopted on 10/19/2011, articles were changed 809 and 810 of the Civil Code of the Russian Federation. They regulate the duties of the borrower to repay the loan. Thanks to these changes, the early repayment of loans has become the legal right of each borrower.
However, it is important to observe one condition - the borrower must warn the bank about his intention no later than 30 days before the operation.
Banks themselves can regulate the terms in the contract, but only reducing them. It is strictly forbidden to increase them and is considered a violation of the law.
Law 353-ФЗ dated December 21, 2013, in article 11, it provides borriers with the right to refuse a loan and fully return it to the bank within 14 days after receiving funds.
If the loan was issued for specific goals, for example, repairs, then the deadline for its return will be 30 days.
In any case, the creditor charges interest only for the actual use of funds. AT 353-ФЗ It is provided for banks to demand early repayment only on the date of the next payment.
If the bank’s client sends a notification about the intention to repay the loan completely, then the data on the amount of the main debt, interest and other payments should be calculated within five calendar days.
Early repayment of the loan - advantages and disadvantages: Features
Of course, early repayment of interest reduces the loan, but is it beneficial for the borrower? Definitely, yes. But this state of affairs is not at all beneficial to the bank. He has to change the payment schedule and reduce interest, not even in his favor.
Early repayment is beneficial simply because the percentage in the end is paid less. So, when closing the contract, you pay interest only for the money that you used, and you return everything else to the bank. Ultimately, you win interest in payment.
The advantage of early repayment is also the possibility of returning part of the insurance if it was decorated. It will be returned during the time that you have left to repay the loan.
The most profitable is to repay a loan with equal payments, in the first half of the term. The fact is that during this period the largest number of percent is paid, and therefore it is more profitable to extinguish such a loan. If you decide to close the rest of the debt, when it is almost extinguished, then there will definitely be no benefit here, because you have already paid all interest.
There are also situations when it makes no sense to extinguish a loan ahead of schedule. If the amounts of payments are small and there is no way to pay at least twice as much as a monthly payment, then this is simply disadvantageous. Overpayment for such a loan will be small.
It is unprofitable to do this at a time when the contract clearly states that the amount of payment should not be less than the minimum fee. Then the lending term for you will decrease very little, and you will save the funds the least.
Often, banks bring customers who have passed the loan ahead of schedule on the list of undesirable ones. And therefore, upon subsequent contact in the loan, they may be refused. This usually happens when a person takes a large loan for a long time, and gives all funds within 1-2 years. The benefit of such customers for the bank is minimal. Therefore, in order not to lose more profit, they refuse to provide a loan.
Early repayment of the loan - how does it affect interest?
When early repayment of the loan is carried out, interest, as we have already said, are written off for unused funds. Usually, the bank still takes away a little, if you have some time after the date of repayment, because you also used funds at this time, which means you need to pay.
By the way, if you have an unusual insurance, then the bank returns it.
Full partially early repayment of the loan - how to recount a percentage?
When a person decided to repay the loan - it is quite difficult for him to count interest. To find out the rest of the amount you need to pay, contact the bank consultant. He is obliged to calculate the amount for repayment, as well as, if necessary, to issue a new debt payment schedule.
If the bank has the opportunity to pay via the Internet, and you decided to use it, then the size of the payment will be calculated by a special calculator.
Remember that if the loan was received with insurance, then you have every right to demand the recalculation of the amount.
Usually, according to credit lawyers, by the time of termination of the loan agreement, the amount of insurance is already becoming zero and the borrower does not return anything, but if the bank refuses to voluntarily make a recalculation, referring to this, then the issue can be resolved through the court.
How to calculate the benefits from early repayment of a loan: Calculator
In fact, when you need early repayment of the loan, interest on the loan will be counted, and the amount of benefit will not be announced to you. Usually they don't do that. Although, you can see it yourself according to the payment schedule. It is enough to add the amount of the remaining interest and see what you will succeed.
An early repayment calculator in the Internet bank allows you to see the amount you need to pay today so that the contract is closed:
Overpayment of interest on early repayment of a loan - how to return?
When early repayment of the loan is required, interest, which are paid from above, can be returned. For the procedure, a special application is written to the bank. It can immediately indicate that the bank will return the extra amounts paid under the contract. Not every bank automatically recalculates and reduces its profit, and therefore you should independently express such a desire. Let it be even a small amount, but still, do not give it.
If your request is ignored, then act as follows:
- First, repay the debt ahead of schedule and receive a certificate from the bank that the debt is closed.
- Make a claim to the bank management, to which attach the calculation of the overpayment amount, a certificate from the bank, a payment schedule, and so on. In the text, be sure to express a request for a refund. According to the article 89 of the Civil Code of the Russian Federation, the bank is obliged to make a refund.
As a rule, before court, in such cases, banks try not to bring and return funds, but always. So be prepared that you may have to go to court.
Does early repayment of a loan on a credit history affect?
Early repayment of the loan, interest allows you to reduce. However, many are afraid to do this because they believe that a credit history can be spoiled, and it is it that is decisive when making a loan decision.
In fact, the credit history does not reflect early repayment, like something bad. It is simply noted that the loan is closed. But all violations, of course, are reflected. Even the slightest delays can make banks in the report.
So we can safely say that credit history does not deteriorate from early repayment, the client is even a plus. Moreover, the banks themselves cannot see if the loan was repaid ahead of schedule.
Video: Why do you need early repayment of a loan?
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They wrote fiction here, you are probably far from realities and judicial precedents.
It is impossible to return interest for an unused time of a loan now !!!! All courts refuse this since the percentage is now considered every day from the amount of the loan body, thereby the banks have covered the "ass" from such smart consumers)))
In the court of first instance, the bowl of justice was on my side, after the bank’s approval, the court took the side of the Rostovshchikov- here is a fair court, everything was bought and honor and conscience. I am writing to the Supreme if there, for the bourgeois, then you probably won’t help the deeds with words.
The bank gives the good for a complete early repayment of the loan. But it requires monthly payment on schedule and the second. Opens an invoice and pays. At the expense. And then at the expense of the loan. THANKS.