Just to get out of debt.
You can not get rid of your debts with a loan. May I put all my debts together in one loan? Therefore, many debtors try to take out a debt restructuring loan.
The paper deals with the legal issues of repayment of legacy assets, ie the reduction of government debt. So far, this topic has not received enough attention in research and teaching, although it is of great importance to the community. The work represents the framework of the current Public Debt Law, which enables and promotes the current practice of a recent reorganization of existing sovereign debt.
Based on this, the applicable law is set up with regard to its debt settlement regulations. At first glance, the state debt law is “blind”: It deals exclusively with the net new debt and does not take into account the old debt. Based on an inventory of existing debts, the author identifies the need to restructure the debtor law and outlines the framework for a debt repayment law to be created.
Loan for debt restructuring
Those who are in debt know very well how difficult it is to get rid of them. It can be assumed that everyone is trying to pay off the debt as quickly as possible to the creditor (s). Especially not if you have several vendors and all of them insist on a quick repayment.
If the vendors then add interest to the debt, the repayment amount is reduced and the debt can only be reduced gradually. Therefore, many debtors try to forgive a debt restructuring loan. It should summarize all debts and thus have the chance of a steady and cost effective repayment.
If you summarize all the debts in a loan for debt restructuring, you have one distinct advantage: you only have one lender left. And all the little believers you had in advance can be served in one go. As a rule, when taking out a loan, you decide to accept a installment loan.
It can easily be adjusted to the debts and is also very variable in the amortization. It is therefore the optimal option for rescheduling. The loan amount should be such that all debts can be settled. If you have the chance to shake off all creditors at once, then you should definitely take this opportunity and not let it through.
To be able to take out a loan to restructure debt, you have to set a very important condition. Debt must not have had a negative impact on the scandalous society. Then it will be very difficult to get a fair debt reduction loan. For all offers that work without the intermediation of the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht, credit bureau), interest rates that are so high that interest rates are scarcely payable for this purpose of application apply.
It is therefore very important to start at an early stage with the reduction of debt and the taking out of loans. It has to be so high that the loan installments can be paid comfortably. You have to submit so many documents that you assume that the house bank notices the debts and therefore does not grant loans.