A loan is always useful for overcoming financial constraints, e.g. B. bring with it a larger purchase such as a condominium, a house or a new car. However, certain professional groups have much more favorable terms when it comes to interest rates and loan repayments. This is particularly the case for civil servants, but employees can also benefit from discount rates at many banks.
The particular attractiveness of the loans for civil servants and employees is that they offer discounted interest rates for the professional groups mentioned below and are therefore not comparable to the often extremely expensive installment loans.
Here is an overview of the terms of the loans for civil servants and employees.
The special conditions for civil servants
The special rules of the special loan for civil servants apply to everyone who works in the public service. In addition to teachers, these can include firefighters, police officers, finance, judicial and law enforcement officers, the Bundeswehr, the federal police, the post office and the telephone. Most loan providers give borrowers an extremely low interest rate that remains constant over the entire term.
The term of the loan is also extremely variable and therefore very attractive for civil servants. Because most banks offer terms of up to 20 years for civil servants. The amount of the loans disbursed is usually extremely high, which can amount to some 120,000 USD. In the event of death, the family is covered and special repayments and immediate repayment can be requested at any time.
Loans for employees
Civil servants also benefit greatly from the special conditions of the loans for civil servants and employees. However, slightly different rules apply to them than to civil servants. The loan, which employees can also apply for, also applies to academics, civil servants, probationary officials and pensioners.
Most banks have loans for employees between 12 and 120 months and can be set variably. In most cases, however, the maximum amount of the loan is not as high, with a maximum of USD 70,000. However, many banks have similar conditions for loans to civil servants and employees.
In any case, it is worthwhile to get comprehensive information from various banks or from the bank you trust. In many cases, an in-depth search for information will make it easier to take out loans than to take the first-ever loan that you come across.