I have done that. As a bridge loan for a few weeks as I wasn't immediately able to get my hands on all of my money. But it was a very special situation.

That said, I have never seen a personal loan that I wouldn't have been allowed to repay in full at any time. It's with the mortgages that banks don't generally allow that.

For once I agree with Tom!

If I remember correctly you are in Germany now.... and leaving aside local law, the EU directive applies and which places all kinds of obligations on a lender in this case. And giving a 100% loan on a property that the lender can not longer acquire is pretty well illegal at this stage.

So I very much doubt you are being told the full story.

That maybe, but I am genuinely worried about that person.

Maybe he re-mortgaged another property to get cash to buy the new place. Anyway, strange to do this ahead of a signed contract.

If that's the case. It's just an expensive mistake, not a life changing mistake.

Of course, but that does not mean you are being told the full story.

No need to, based on what you've been told. 12k annuity (annual payment, payback including interest) implies some 1.5% interest rate, that's a steal. He can take the money and invest it, that would have a very high chance for profitability.

Be extremely cautious if your friend wants you to become involved, his interests are unlikely to align with yours in such a case.

Tell him to get proper legal advice from a local lawyer like any normal person with half a brain would do in this situation.

Good job half of your brain is working, what happened to the other bit?

So, what came out of this? Any results yet?

bump