Terugbetalingsperioden

Terugbetalingsperioden are the spans during which a borrower repays a loan, from the start of the repayments until the loan is fully paid off. These periods are usually defined in the loan agreement and can be fixed or subject to change through actions such as refinancing. The length of the repayment period, together with the interest rate and the repayment method, determines the size of the regular payments and the total cost of the loan.

In most loans the payments follow an amortization schedule, where each payment includes both interest and a portion of the principal. A longer repayment period generally lowers the monthly payment but increases the total interest paid over the life of the loan, while a shorter period raises monthly costs but reduces the overall interest. Some loans also offer an initial period with different rules, such as interest-only payments, after which normal amortization starts. Borrowers may shorten or lengthen the repayment period by making extra payments or by refinancing, though some loans impose penalties for early termination or modification.

Repayment periods vary by loan type and jurisdiction. Common examples include mortgages, consumer loans, and student loans, each with its own typical structure and rules regarding prepayment, delays, or grace periods. The choice of repayment period affects affordability, risk, and eligibility for other borrowing, and is a central consideration in loan planning and financial management.