Recently took a bank loan at our local sparkasse I knew to be prepared for added extras like insurance and such, but typically you can decline it or it's a small fee. Well the NL@TB said we had to take insurance. OK, rate at 9% was a bit high but I'm planning on paying it out early and that's the point we discussed. She also said and this is important the insurance is pro rated over the life of the contract (no 100% sure on that as my German isn't that good) Got home and took a closer look at the contract and realized they simply added it to the loan, suddenly my loan is 25% larger!
Speaking with my insurance agent (Herr JohnG love that dude) he said they can't force you to take the insurance. Sure I can pay it out early but I'm still stuck paying out 1800€ for some stupid insurance.
So before I head over to take a stripe off of ass is it true they can't force you to take insurance. I also need to confirm with her that the insurance is pro rated
Secondly is it possible to cancel a loan (subject to loads of fees) within a certain period
BTW I did apply via payback.de for a loan and they did a nice bait and switch. Advertized interest was 4.9% while the contract was 7.9%