Loan
What is a loan?
A loan involves the transfer of fungible goods (which are defined in trade by measure, number or weight, rather than by subjective characteristics) into the ownership of the recipient, with an obligation to return the same quantity, type and quality. Until the entry into force of the Act Amending the Law on Loans and Credit (DaKRÄG), the loan agreement – in contrast to the credit agreement, which comes into effect at the time the credit agreement is concluded (consensual contract) – only came into existence upon the handover of the goods – usually accompanied by the counting out of the loan proceeds – (real contract).
What does the Act Amending the Law on Loans and Credit cover?
Under the DaKRÄG, which came into force in this regard on 11 June 2010, the loan agreement also became a consensual contract. A loan agreement for money entered into for consideration is still referred to as a credit agreement; this also includes an agreement under which a sum of money is made available on demand. The 2011 Budget Accompanying Act abolished the fee for both loan and credit agreements. This applies to contracts concluded after 1 January 2011. Security and performance transactions relating to loan and credit agreements (e.g. guarantees, assignments, etc.) remain free of charge.
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