Sixty-five years was the normal retirement age in Germany before it was raised to sixty-seven. The beginning of retirement at 65 is still possible for severely disabled people after a long-term insurance, as well as with the acceptance of pension discounts for everyone.
Bank loans for pensioners
Many financial institutions approve a loan application for a pensioner aged 65 and over if the applicant chooses a term of up to five years. For longer loan terms, credit institutions often require credit default insurance when taking out a loan from the age of 65, since the risk of death before the loan is fully repaid increases significantly when the person reaches the age of 70. An heir can be given a guarantee for pensioners aged 65 and over as an alternative to the installment protection insurance.
Courts generally recognize a guarantee secured by the inheritance, even if the guarantee provider has little experience in financial matters. In most cases, today’s pensioners receive a pension from the statutory insurance sufficient for borrowing. Most credit banks take the additional benefits from a company pension plan and a Riester pension or Rürup pension into account in their household accounts.
In the case of benefits from private supplementary pension insurance, they are not always taken into account as part of the income test, especially since some insurers pay the corresponding amounts once every quarter and not monthly. If applicants receive a low statutory old-age pension, they choose a financial institution when applying for a loan for pensioners aged 65 and over, whose budget also includes the monthly average of a quarterly supplementary pension insurance.
Apply for a private loan as a pensioner at the age of 65
An internet platform for brokering loans between private applicants and private lenders is easier for a pensioner aged 65 and older to take out than with a conventional commercial bank. The lenders registered on the corresponding website make their decisions to a large extent from a social point of view and draw the desired loan for a pensioner aged 65 and over, precisely because it is difficult for him to take out a loan from an ordinary credit bank.
On the websites for private borrowing, a detailed description of the intended use is just as common as an exact description of the personal situation of the loan seeker. Of course, the contact details and bank details of the borrowers remain anonymous to the private lenders and are only known to the platform operator.