P
perfectionis
Guest
Hi all,
I appied to my bank for a year 'interest only' payment as the things are not rosy at all. The bank manager came back to me to say that our loan was on 4.25% interest for 20 y, where we have only 17 left.
If we change to 'interest only' for a year, we are breaking the initial contract and they will change the rate to 6.75% and the loan will be for 14 years. What I cant understand is, why when we stared the loan, it was calculated on 7.25% and we had to pay 1600 eur/pm, and then when the interest was 3.5 and 3.75% for some time, and we continued paying 1600 eur/pm the we did not get a reduction of the capital?
To clearify that, what should I ask the bank manager?
Thanks!
I will appreciate every advice!
I appied to my bank for a year 'interest only' payment as the things are not rosy at all. The bank manager came back to me to say that our loan was on 4.25% interest for 20 y, where we have only 17 left.
If we change to 'interest only' for a year, we are breaking the initial contract and they will change the rate to 6.75% and the loan will be for 14 years. What I cant understand is, why when we stared the loan, it was calculated on 7.25% and we had to pay 1600 eur/pm, and then when the interest was 3.5 and 3.75% for some time, and we continued paying 1600 eur/pm the we did not get a reduction of the capital?
To clearify that, what should I ask the bank manager?
Thanks!
I will appreciate every advice!