Early Repayment Penalty Calculator
Calculate the early repayment penalty for premature loan repayment. Free with amortization schedule, interest comparison, examples for 2026.
Interest Damage Method
€7,641.79
Simplified Method
€1,500.00
1% of remaining balance
Est. Compensation
€1,500.00
Lower of both values
Note: This is a simplified estimate. The actual early repayment fee may vary. For consumer loans, the statutory limit under § 502 BGB applies.
Note: These calculations are for informational purposes only and do not replace professional tax or financial advice. All information without guarantee.
FAQ
Frequently Asked Questions
What is a prepayment penalty?
A prepayment penalty compensates the bank for lost interest when you repay a loan early. For mortgage loans, it is typically calculated as the difference between the old and current interest rate for the remaining fixed-rate period.
When can I avoid a prepayment penalty?
After ten years of loan disbursement, you can terminate with six months' notice without penalty (Section 489 BGB). Also, if the bank made errors in the loan agreement, the penalty may be invalid.
Are my entered amounts stored anywhere?
No. All calculations happen exclusively in your browser. Your inputs are never sent to our server or stored. You can safely enter sensitive financial data.
Guide
Quick Answer
The early repayment penalty calculator computes the compensation the bank may charge for early repayment of a loan.
What is the Early Repayment Penalty Calculator?
The early repayment penalty calculator computes the compensation the bank may charge for early repayment of a loan.
How does the Early Repayment Penalty Calculator work?
Enter the remaining balance, remaining term, contract rate and current market rate. The calculator determines the penalty using the asset-asset or asset-liability method. Consumer loans are subject to a statutory cap.
Key Data and Facts
Consumer loans: max. 1% or 0.5% of remaining balance. Mortgage loans: calculated per Federal Court case law. Special termination right after 10 years: no penalty.
Step-by-Step Guide
How to calculate the early repayment penalty step by step: 1. Determine the type of loan: consumer loan (statutory cap) or property loan (calculation according to BGH). 2. Determine the remaining debt: the outstanding loan amount at the time of redemption. 3. Check the remaining term: the months left until the regular end of the contract. 4. For consumer loans: max. 1 % of the remaining debt if the remaining term exceeds 12 months. Max. 0.5 % if the remaining term is under 12 months. 5. For property loans (asset-liability method): the bank calculates the interest loss over the remaining term less saved risk costs and administrative costs. 6. Check the special right of termination: after 10 years of fixed interest (Section 489 BGB) no penalty is due (6 months' notice period). Example consumer loan: remaining debt 8,000 EUR, remaining term 24 months. Penalty: 8,000 x 1 % = 80 EUR. Example property loan: remaining debt 150,000 EUR, contract rate 3.8 %, market rate 2.5 %, remaining term 5 years. Interest difference per year: 150,000 x (3.8 % - 2.5 %) = 1,950 EUR. Penalty (simplified, discounted): approx. 9,200 EUR.
Calculation Example
Consumer loan: EUR 8,000 remaining debt, 24 months remaining term. Prepayment penalty: EUR 80 (1%). Property loan: EUR 150,000, contract rate 3.8%, market rate 2.5%, 5 years remaining. Prepayment penalty: approx. EUR 9,200.
Sources · E-E-A-T
Official sources
Calculations are based on applicable German laws and official data:
- Deutsche Bundesbank
- Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin)
- Statistisches Bundesamt (Destatis)
Full methodology at Methodology.
Finance
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