Oh the woes of those poor, hunted billionares...

[Andres]

I don't think you have to pay interests on such out-of-schedule paybacks. You pay a set amount of interests once a month based on how much loan you have had the previous or current month (I forget the details).

Slightly off topic, but maybe good to know.

Could be different abroad, of course, but in Belgium, paying capital back earlier (out of schedule) is considered a breach of contract and you'll generally have to pay 3 months of interest on the amount paid back earlier as compensation. The damage for the bank is that it loses part of the profit of its' investment (Yes, a loan to you is an investment for the bank, and they make profit out of it; generally, you have to pay more interest than the bank has to pay on that amount - when interest rates are low, try to get a loan on an interest rate that's fixed for the entire duration of the loan). Also in Belgium, you don't get tax benefits for the amount you pay back out-of-schedule. Before you'd consider doing such a payback, you'd first have to make some caculations to see if it's profitable or not.

[Sigurd]

Slightly off topic, but maybe good to know.

Could be different abroad, of course, but in Belgium, paying capital back earlier (out of schedule) is considered a breach of contract and you'll generally have to pay 3 months of interest on the amount paid back earlier as compensation. The damage for the bank is that it loses part of the profit of its' investment (Yes, a loan to you is an investment for the bank, and they make profit out of it; generally, you have to pay more interest than the bank has to pay on that amount - when interest rates are low, try to get a loan on an interest rate that's fixed for the entire duration of the loan). Also in Belgium, you don't get tax benefits for the amount you pay back out-of-schedule. Before you'd consider doing such a payback, you'd first have to make some calculations to see if it's profitable or not.

We are sooo off topic here, but I would like to add this anyway:
I just checked the law concerning finances.

Apparently in Norway there is a slight difference between a floating interest rate loan and a fixed interest rate loan.

As a debtor to a loan with a floating interest rate, I have the right to pay back part or the whole thing before the agreed payback time.
Additionally the bank can't demand more interests than the used credit time. But they can demand a compensation in a form of a fee, which is limited to the cost of administrating the liquidation of the loan. If however you are a consumer (I guess consumer loans), the bank have no claims of compensation.

On the fixed interest loans this is different and the bank might demand compensations of lost income on interest rates.

I would not bind my loans to a fixed interest rate, because I can manage a 3-5 interest points increase just fine.
Right now my mortgage is creeping below 3 percent and the fixed interest rate, If I would have considered it is around 5-6%. I believe in the long run (20 years) you save money on the floating interest rate. I bet those that bound their interest rate at 7-8% is . They bound their interest just before the world economy crashed. I remember I was sweating too, when the interest went from 2.94% to 8 in a few months. Then the world economy collapsed and I am back where I started.