The advertising of the banks for their credit offers in the Internet with out interest rates is more permissible. If financial institutions on the Internet for new credit customers, they compete with a large number of other providers. To draw the attention of prospective clients in the abundance of offerings, they attract on their Web pages with often unrealistically cheap loan conditions. The offered low annual percentage rate are not lie – they actually exist. The hooks on the thing is that the conditions for this extremely favourable conditions are so high, that almost nobody that can qualify in harsh reality. An interested customer clicks his mouse on one of these super deals, he finds a much higher – but also much more realistic, effective annual interest rate in the coming off calculation example of the Bank immediately. You can assume that the then called interest rate in most cases represents the effective annual interest rate for a loan.
A higher interest rate is of course long ago not as alluring as the low “decoy”-offers. A bank that is honest enough to call the higher calculated values, is compared to the other party at a disadvantage. For a loan customers – the decoys deals, that a comparison of conditions between different lenders is more complicated than necessary mean for a layman in finance -. In the worst case, such an offer can cause that the consumer didn’t notice the difference in the interest rate and the lender “fall into the trap”. Legally they could not defend themselves so far. A new ruling of the regional court of Stuttgart’s change this state of affairs. In accordance with the under file number 17 O 165/11 detainees verdict may banks now no longer with their best credit interest rate advertise. Instead, they must call the annual percentage rate in their advertising, the sharp part of the borrower (in accordance with the judgment at least two-thirds) is also obtained at the end.
The verdict has further, that This interest rate of the loan seeker “at first sight” must be judged an extra mouse click, to get the best offer available in most likely is no longer allowed. The customer must remain able to bring even the worst possible effective interest rate in experience along with the best and the most likely. This judgment of the Court of the country represents a major improvement of consumer protection and based on a change in the price indication regulations set out in the year 2010.