BAUSPAREN

An International Success Story

The safe way to finance a home

Beneficial for Both People and the Economy

Contents
03

Foreword

04

Bausparen (Contractual Savings for Housing)

Appealingly Simple and Secure
A guaranteed interest rate provides reliability

06

Positive Effects on the Economy

Bausparen benefits the state and the society

08

Partnering with the Market Leader to Achieve Success

Competitive advantages for banks

10

A Schwbisch Hall Export Thats a Winner

Bausparkasse Schwbisch Hall is a pioneer abroad

12

Success on an International Scale

Bausparkasse Schwbisch Halls affiliated companies

19

Glossary
The most important terms relating to Bausparen

20

Contact
Reach out to us

Contents

Saving money through

Bausparen helps people all over
the world to create and keep
a home where the heart is.

Dear Reader,
All over the world, people dream of owning their own
home. Many go to great lengths to make this deeply
held dream come true. They save, they borrow, they
take construction and modernization work into their
own hands. For most of them, buying real estate is the
biggest investment of their lives. To successfully tackle this challenge they need inexpensive and low-risk
financing instruments.
This is exactly what Bausparen offers. Little by little,
customers build up capital by making regular deposits
into their savings account which means they dont
need to borrow as much later. When financing their
new homes, these savers are able to take advantage of
low, fixed interest rates over the entire term of their
loans. This not only makes the individual home financing reliable, it also provides stability for the entire
economy.
The institutions that offer these savings plans Bausparkassen (Contractual Savings for Housing companies) in Germany are subject to clear requirements
specified by the law and are monitored by banking
regulators. The financial crisis showed just how important it is to have savings that are protected: The Bausparkassen came through the crisis unscathed, and
none of the savers lost any money not one cent.

In Germany, Bausparen is a tried and true model for

success with a long history. After World War II, this
method of saving contributed considerably to the
reconstruction of our country. Bausparkasse Schwbisch Hall alone has contributed to financing the
construction, purchase, or modernization work on
roughly 8.4 million apartments and houses since
1948. Saving money through a Bausparen savings
plan helps people to create and keep a home
where the heart is.
This is why we believe that this product is an attractive and secure financing instrument for many countries. On the following pages we present how Bausparen works and what advantages it has to offer for the
state and the economy.
We look forward to talking to you about the great
opportunity this represents.

Reinhard Klein
Chairman of the Management Board
Bausparkasse Schwbisch Hall AG
Foreword

Bausparen Appealingly
Simple and Secure
Bausparen (Contractual Savings for Housing) is a
simple, secure, and sustainable financial product that
is suitable for anyone who wants to build, buy, or modernize a property. The basic concept is seductively
appealing: During the first phase, the customer makes
regular deposits of a fixed amount into the savings
account, up to a maximum of half of the agreed total
funds to be disbursed, building up the balance over
time. The remaining amount is later disbursed to the
customer by the savings institution as a loan, and the
customer repays this loan in monthly installments.
Simply put, the Bausparen process is divided into two

Bausparen Appealingly Simple and Secure

phases, the savings phase and the loan phase. The

system is based on a mathematical formula that ensures that all customers are treated equally, factoring in
the period of time over which the individual customer
will be saving money as well as the amount.

A guaranteed interest
rate provides reliability
With Bausparen, the interest rate on both the savings
and on the loan is determined by the time the contract is signed, which means that customers can be

How it works

Saver

Savings deposits on
the Bauspar account

Savings balance on the

Bauspar account
+ Bauspar Loan
+ Interest
+ Government subsidy

Saver repays the loan

Government subsidy

The closed system makes this savings method a sustainable financing instrument that is able to withstand crises.

absolutely certain of the interest throughout the entire term of the contract. The loans that are issued are
funded from customers deposits, meaning that all of
the money saved remains in a closed system. Ultimately, this renders institutions offering contractual savings for housing plans (Bausparkassen) essentially
independent from the capital market.

instructions concerning the ways the funds are permitted to be used. Customers are allowed to use their
funds for almost anything related to building, buying,
or modernizing residential real estate. Many savers
invest in renovations that improve energy usage or in
remodeling that helps make their property more suitable for modern life.

The law provides maximum security

All of the requirements imposed by law protect the

savers as a community, known as the home savers
collective, since the primary goal of this special savings system is to create maximum security for customers deposits. All of the countries that offer Bausparen as a financing instrument profit from its excellent
performance and security during times of crisis. In
Germany, Bausparen has proven successful for over
90 years.

The backbone of this system is legislation. In Germany, customers are protected by the Bausparkassengesetz the Building and Loan Associations Act which
is the law that regulates contractual saving institutions. This law stipulates exactly how such institutions
can invest money, as well as how risks are required to
be limited and monitored. The law also provides clear

Bausparen Appealingly Simple and Secure

Positive Effects
on the Economy
The distinctive features of Bausparen have a beneficial effect on a countrys entire economy. The benefits are far-reaching, and although they primarily
affect private households, they also have a positive
impact on the real estate sector and the financial
system.

Contractual saving benefits the

state and the society
The Bausparen savings system is another important
tool in a countrys arsenal of financing products. A

Positive Effects on the Economy

greater variety of financing products means more

competition in the construction financing sector and
leads to greater stability in the financial sector.
Highly effective products increase the ability to withstand financial crises, which in turn boosts peoples
trust in their domestic financial system. Bausparen
has other effects as well:
Positive influence on saving habits:
The systematic nature of Bausparen encourages
people to save.

Bausparen reduces risks

People who save through Bausparen are especially reliable customers. Thanks to their
savings discipline, they are already providing proof of their ability to make regular payments
during the savings phase, thereby reducing the risks of a loan default. From the perspective
of principal-agent theory, this in turn reduces the risk of moral hazard as well as that of
adverse selection.

Own funds reinforces the financing process:

During the savings phase, customers build up their
own capital, proving their dependability and ability
to make regular payments. This in turn reduces the
risk of a loan default to a minimum (see illustration).
Lower loan interest rates: Thanks to lower costs
associated with risk factors and the fact that loans
are refinanced with funds from customers deposits,
savings institutions that offer contractual savings
plans are able to offer interest rates on borrowed
funds that are lower in comparison to the market.
Loans issued in the local currency: Bausparen is
implemented in the local currency. This not only
makes the individual financing process safer, it also
makes the economy more independent from internal capital markets.

Subsequent benefits for the

construction industry
Bausparen funnels funds that have been saved
directly to the real estate sector, which also creates
positive effects for this area of the economy by
strengthening demand in the real estate market. This
in turn provides a better cushion for fluctuations in
the economy. Investments in the construction industry create major secondary benefits. They create new
jobs and financial incentives for construction companies and regional contractors. Private households
also benefit from Bausparen:
Low costs: As a rule, the total costs for financing implemented through Bausparen are low. For many median-income households, this is what makes housing
affordable or even a viable option to begin with.

Planning certainty: Thanks to fixed interest rates,

savers can plan the financing of their home with
peace of mind over the entire term of the loan.
Higher-quality housing: Bausparen enables
people to take housing into their own hands to
improve their standard of living.
Bausparen reinforce peoples efforts to take
responsibility for themselves: People who become
home owners simultaneously assume responsibility
for accumulating wealth, contributing to their own
social safety net, and last but certainly not least,
for planning how to save for retirement.
The governments decision to make a contribution
to Bausparen is one that promotes the long-term
success of contractual savings with all its positive
effects. By taking this action, the government funnels
funds specifically into private home construction and
reinforces borrowers capital. Additionally, the contribution enhances the appeal of Bausparen while
simultaneously providing some compensation for inflation and steering the populace toward investing
their assets in safe financial products.

A plus for social and

economic policy
The positive economic effects outweigh the expense
of subsidizing Bausparen, which is why in many countries, Bausparen is a suitable tool for successful social and economic policy (for more information in this
regard, see pages 12-17).

Positive Effects on the Economy

Partnering with the Market

Leader to Achieve Success
In Germany, cooperation between banks with private
customers and institutions offering contractual savings for housing plans (Bausparkasse) has already
proven successful over the long term. Nearly every
retail bank in Germany cooperates with one of the
22 Bausparkassen.

tive effects of cooperating with a Bausparkasse. The

advantages for financial services providers are many
and varied:

Competitive advantages for banks

By offering Bausparen in combination with their usual

products, banks can offer their customers appealing
financing models. The institutions acquire new customer groups and increase their financing volume.

Numerous banks and financial services providers in

other countries offering Bausparen modeled after the
German system have also come to recognize the posi-

Contractual savers have own funds, a situation

which decreases the risk of a loan default. Costs
associated with lending decrease not only for the

Partnering with the Market Leader to Achieve Success

Having capital provides for stability when financing

Savings balance on the Bauspar account
+ Bauspar Loan
= Total contractually stipulated
Bauspar sum

60 % Bank loan
20 % Bauspar Loan
20 % Savings balance on the Bauspar account
(= borrowers personal capital)

= 100 % of the purchase price/building costs

The golden rule for privately financing housing in Germany recommends that around one fifth of funds be
comprised of the borrowers personal capital.

customer but also for the lender. The long contract

terms associated with Bausparen facilitate longterm relationships with customers. Attractive products and higher market share lead to an improved
image and competitive advantages. When banks
and institutions offering contractual savings for
housing plans cooperate, this opens up a range of
cross-selling opportunities.

To benefit mutually from strengths

With more than seven million customers, Bausparkasse Schwbisch Hall is the largest institution offering
contractual savings for housing plans and has been
the market leader in Germany for decades. We owe
our success to the following factors, among others:
Bausparen is an attractive, flexible product.
Bausparkasse Schwbisch Hall has exceptional marketing and sales expertise with Bausparen as a product.
As a contractual savings for housing institution,
Bausparkasse Schwbisch Hall has invested in longterm product management.

Bausparkasse Schwbisch Hall is especially efficient

in processing the saving plans and housing loans.
State-of-the-art IT solutions ensure the companys
success.
Customers inclination to seek security creates
ongoing demand.
These strengths serve to solidify Bausparkasse
Schwbisch Halls market leadership. We have also
been successful in the international arena for more
than 20 years.
When it comes to the introduction of Bausparen in
new markets as well as the establishment and development of contractual savings for housing institutions, Bausparkasse Schwbisch Hall has extensive
expertise.
Because Bausparkasse Schwbisch Hall strives for
cooperative relationships that are not only strategically beneficial but also promote trust, both partners
benefit from the strengths and experience of the
other, allowing them to achieve ambitious objectives
together.

Liquidity and risk management are organized with

the long term in mind.

Partnering with the Market Leader to Achieve Success

A Schwbisch Hall
Export That's a Winner
Bausparkasse Schwbisch Hall is the largest institution
in Germany to offer contractual savings for housing
plans and has the largest customer base. With more than
eight million Bausparen savings contracts for more than
264 billion euros in total funding, the company has been
the market leader for many years. Business in other
countries is an integral part of our corporate strategy.

sparkasse (SGB) in 2004. The company began in Tianjin, a region along the east coast with fifteen million
inhabitants. At the end of 2011, Sino-German Bausparkasse opened a second branch in the province of Chongqing, one of the largest metropolises worldwide.

Bausparkasse Schwbisch Hall is a

pioneer abroad

As the political landscape changed in the 1990s, the

state-directed economies of Eastern Europe collapsed
and transitioned to market economies. While this was
taking place, government-sponsored housing was also
becoming privatized, which rapidly increased demand
among the populace for a means to finance the purchase,
construction, and modernization of housing. However,
the state banks in these countries were not prepared to
handle private financing for residential construction.
Loan interest rates of more than 20 percent made borrowing unaffordable for citizens, while at the same time high
inflation also kept people from developing good savings
habits. For these new market economies, Bausparen provided an attractive and suitable method for financing the
required investments in residential construction. This
new financial product gave many people their first opportunity to save up the funds needed to have their own
home. Since this stimulated housing construction, goverments provided the appropriate legislative environment and an attractive subsidy.

Bausparkasse Schwbisch Hall has been active in the international arena since 1992. Its affiliated companies in
Slovakia, the Czech Republic, Hungary, Romania, and
China have a total of 3.1 million customers with around
3.5 million Bauspar contracts and 6,500 employees.
Nearly all of these affiliated companies are market leaders in their countries. Bausparkasse Schwbisch Hall was
a pioneer in the field of exporting Bausparen modeled
after the German system. The amendment of the German Bausparkassengesetz the Building and Loan Associations Act in 1991 made it possible for the first time
to establish affiliated companies in foreign countries. As
early as 1992, Bausparkasse Schwbisch Hall and its
partners founded Prv stavebn sporitel
na (PSS, which
translates as First Bausparkasse), the first institution of
eskomoravsk staits kind in Eastern Europe. In 1993, C
MSS, which translates as Bohemianvebn sporitelna (C
Moravian Bausparkasse) was launched in the Czech Republic. In Hungary, Bausparkasse Schwbisch Hall introduced the concept of Bausparen through what is today
the institution Fundamenta-Lakskassza (FLK) in 1997.
The first institution offering Bausparen in the Romanian
market, Raiffeisen Banca pentru Locuint,e (RBL, which
translates as Raiffeisen Housing Bank), opened its
doors in June 2004.

Bausparen has proven itself

internationally
The success of Bausparen in Eastern Europe also kindled
interest in China. Bausparkasse Schwbisch Hall and China Construction Bank Corporation, one of the largest
banks in the world, jointly established Sino-German Bau-

10 A Schwbisch Hall Export Thats a Winner

Stability for new market economies

Bausparen as a stabilizing factor

Real estate loans that were issued too carelessly triggered
the international financial crisis. This situation showed
that the purportedly conservative German system for
financing housing construction also has considerable
strengths from an economic perspective, for example the
high proportion of funds coming from the borrower, and
fixed interest rates on loans. In this context, the Bauspar
contract functions as an additional stabilizing element.
Countries with a Bauspar savings system in place weathered the crisis considerably better than nations without
this financing system. Today, Bausparen makes a significant contribution in many countries to sustainable social
and economic policy.

At present, Bausparkasse Schwbisch

Hall is invested in five contractual
savings for housing institutions in
Slovakia, the Czech Republic, Hungary,
Romania, and China.

Short History of Bausparen

200 BC Non-profit mutual savings societies are developed in China.
1775 The first building societies emerge in England.
1885 The pastor Friedrich von Bodelschwingh founds the first Bausparkasse institution in Germany offering contractual savings plans.
1931 Tradesmen in Cologne found Bausparkasse Schwbisch Hall.
1934 Germany introduces tax advantages for Bausparen savings contracts.
1948 The economic miracle provides fresh impetus for German
institutions offering contractual savings plans.
1952 German Bauspar savers receive a government contribution added to
their deposits.
1992 Bausparkasse Schwbisch Hall founds the first institution to offer
contractual savings plans in Slovakia.
2004 Bausparen returns to China.
2008 The Bausparkassen came through the crisis unscathed, and none of
the savers lost any money not one cent.
2013 The German Bausparkassen sign new Bauspar contracts with a record
volume amounting to more than 106 billion euros.

A Schwbisch Hall Export Thats a Winner 11

Berlin, Brandenburger Tor

Germany
Germany is the land of Bausparen and has been
for nearly 100 years. Bausparkasse Schwbisch
Hall is the market leader and has the largest customer base.
Bausparen is what makes it possible for many people
to have their own home. The political and demographic changes occurring after the fall of the Berlin wall
caused a further surge in demand. Today, roughly 80
million people live in Germany, and there are roughly
25 million Bauspar savers.
With 7.3 million customers, Bausparkasse Schwbisch
Hall is Germanys largest institution offering contractual savings for housing plans and the market lea-

Bausparkasse Schwbisch Hall AG

Corporate headquaters

Schwbisch Hall, Germany

Year established

1931

Core business

Employees

Bausparen,
construction financing,
additional provision products
7,300

Customers

7.3 million

Active contracts

8.14 million

12 Success on an International Scale

der. Bausparkasse Schwbisch Hall sells its financial

products for contractual savings, construction financing, and additional provision products for owner-occupied residential real estate in partnership with the
genossenschaftlichen Banken banks that function
as credit unions. With more than 1,000 institutions
and roughly 13,000 branch offices, they offer one of
the densest banking services networks in Germany.
Bausparkasse Schwbisch Hall has about 4,000 sales
representatives working as field agents and 3,300
employees located in its headquarters in Schwbisch
Hall. With more than 10 billion euros worth of private
housing loans per year, Schwbisch Hall is one of the
largest construction financiers in Germany.

Bratislava, Bratislavsky` hrad (Burg Bratislava)

Slovakia
In 1992, Slovakia was the first country in Eastern
Europe to introduce Bausparen with incredible
success. PSS is the leading company in this
impressive success story.
During the political changes that took place at the
beginning of the 1990s, many apartments were privatized. At the same time, the Slovakian government
was looking for tools to improve its housing inventory
and methods for financing residential construction. It
rightfully trusted the German Bauspar System. The
success of Bausparen in the market from the very beginning also encouraged and enthused neighbouring

countries for the concept of Bausparen.

In the meantime, more than one in four Slovaks has
improved his or her housing situation with the help of
Bausparen. The institutions offering Bausparen in
Slovakia concentrate in particular on financing modernization, renovation and repair work. Around 60
percent of the funds loaned through these measures
are used for the improvement of existing apartments
and houses. With nearly 80 percent of market share,
the undisputed market leader is Prv stavebn
sporitea (PSS), a company in which Bausparkasse
Schwbisch Hall is invested.

Prv stavebn sporitelna,

a.s. (PSS)
Corporate headquaters

Bratislava, Slowakia

Year established

1992

Core business

Bausparen,
construction financing

Employees

1,395

Customers

761,000

Active contracts

833,000

Success on an International Scale 13

Prag, Karluv most (Karlsbrcke)

The Czech Republic

Whether for financial planning or financing in
the Czech Republic, Bausparen savings plans are
synonymous with trust and reliability: Nearly one
out of every two Czech citizens saves through
Bausparen.
In the Czech Republic, Bausparen is a true success
story. Nearly one out of every two of the 10.5 million Czech citizens has opted for Bausparen. This makes Bausparen an integral component in financial
planning, enjoying immense popularity since its
introduction in 1993. The following figures speak
for themselves: The Czech populace has invested a
quarter of its savings in Bausparen. Over the last

Ceskomoravsk
stavebn sporitelna,
a.s.

(CMSS)
Corporate headquaters

Prague, Czech Republic

Year established

1993

Core business

Employees

Bausparen,
construction financing,
retirement planning
2,678

Customers

1.5 million

Active contracts

1.8 million

14 Success on an International Scale

20 years, institutions offering contractual savings

for housing plans have provided three quarters of all
funding for housing construction.
Of a total of five market participants, Bausparkasse
Schwbisch Hall together with a major local bank
has been the driving force behind this success
eskomoravsk stavebn sporitelna
the market leader C
MSS). The opportunity to invest money safely
(C
and receive a government subsidy is the cornerMSS takes advantage of its
stone of its success. C
outstanding market position to place supplemental
financial planning products and is thus an attractive
sales partner for the local bank.

Budapest, Orszghz (Parlament)

Hungary
Bausparkassen provided stability during the banking crisis. The financing business segment is FLKs
greatest strength.
During the last few years, the 10 million people living
in Hungary experienced a profound economic crisis,
in particular in the banking sector. Loans in foreign
currencies used to be very popular for financing housing. But facing a deteriorating exchange rate, many
Hungarians were no longer able to repay their loans,
and default rates rose at many financial institutions.
By contrast, the institutions offering contractual
savings for housing plans which had been operating
in Hungary since 1997 weathered the crisis well.

They even had good enough credit quality to expand

their financing business, since they provided funds for
housing exclusively in the domestic currency. Moreover, Bausparkassen are in a better position than banks
to judge their customers ability to make regular payments.
There are four Bausparkassen in Hungary. The largest
of these is Fundamenta-Lakskassza (FLK), a company
in which Bausparkasse Schwbisch Hall is invested.
Bausparen is not the only segment in which FLK has
an outstanding market position. With a market share
of over 30 percent, in 2013 FLK was also the countrys largest construction financier.

Fundamenta-Lakskassza
Laks-takarkpnztr Zrt. (FLK)
Corporate headquaters

Budapest, Hungary

Year established

1997

Core business

Employees

Bausparen,
construction financing,
retirement planning
1,242

Customers

578,000

Active contracts

658,000

Success on an International Scale 15

Peking, Tiantn (Himmelstempel)

China
The Middle Kingdom is experiencing dynamic
growth and needs solid funding methods for
housing construction. The government supports
Bausparen.
The economies in Asia and in particular China with its
1,3 billion inhabitants are developing at a breakneck
pace. Many people are moving from the country to
the major cities, creating high demand for housing. In
contrast to the situation in European countries, it is
primarily large apartment complexes that are being
built in China, and the individual apartments are then
sold as condominium units.
Searching for solid financing solutions for middle-in-

Sino-German Bausparkasse (SGB)

Corporate headquaters

Tianjin, China

Year established

2004

Core business

Bausparen, mortgage loans,

property financing

Employees

1,131

Customers

144,000

Active contracts

140,000

16 Success on an International Scale

come groups, China introduced the German Bauspar

system. This is the reason why this system has also
been used in Asia since the beginning of the millennium. In 2004, Bausparkasse Schwbisch Hall and China Construction Bank Corporation, one of the largest
banks in the world, jointly established Sino-German
Bausparkasse (SGB). The joint venture was launched
in the metropolis of Tianjin (near Beijing), where fifteen
million people live. In 2011, SGB expanded its business territory to include Chongqing in western China,
and further expansion measures are planned for the
near future. In addition to its core business of Bausparen, SGB also offers mortgages and development
loans.

Bukarest, Ateneul Romn (Athenum)

Romania
The newest market for Bausparen in Europe shows
signs of very promising development.
Bausparen has been in place in Romania since 2004.
This country, with a population of about 21 million
people, is currently the newest market in Europe for
Bausparen. Over half a million Romanians currently
have a Bauspar contract. Now that the crisis years
have passed, the general populaces ability and willingness to save is once again trending upward. This is
also reflected in the growing number of Bauspar contracts managed by market participants. The motto of
the Romanian association of contractual savings for
housing institutions is: Everyone should have a Bau-

spar contract. This association is convinced that

roughly 6.6 million people could be benefiting right
now from Bausparen. After all, many apartments still
need to be renovated and remodeled from the ground
up.
Bausparkasse Schwbisch Hall is active in Romania in
cooperation with the Romanian Raiffeisenbank and
Raiffeisen Bausparkasse from Austria. Raiffeisen

Banca pentru Locuine is the oldest bank to offer

contractual savings for housing plans in the Romanian
market and has around 200,000 customers. The products are sold via Raiffeisenbank and through its own
sales representatives working as field agents.

Raiffeisen Banca pentru Locuinte (RBL)

Corporate headquaters

Bukarest, Romania

Year established

2004

Core business

Bausparen,
construction financing

Employees

139

Customers

191,000

Active contracts

196,000

Success on an International Scale 17

Bausparen (Contractual Savings for Housing)

A Tool for Successful Social and Economic Policy
Bausparen encourages people to develop good savings habits and strengthens their reliance on
their own resources.
When it comes to financing their construction projects, the guaranteed interest rate allows savers
to plan with peace of mind.
The capital saved reduces the risk of default during the financing phase and decreases lending
costs for banks and customers.
Legislation ensures that investors are protected and provides for stability in times of financial crisis.
Bauspar funds promote construction activity and provide for continual demand while creating
revenues and jobs throughout the entire industry.
The government subsidy mobilizes private capital for residential construction and funnels the
populations investments into safe financial products.
The positive effects on the economy outweigh the costs of subsidizing the Bausparen savings
system.

18 Bausparen A Tool for Successful Social and Economic Policy

Glossary All of Arguments at a Glace

Allocation

Point in time at which all of the requirements for the savings contract
(e.g., minimum savings balance on the Bauspar acount, minimum savings
period) have been satisfied so that the total funds (savings balance on the
Bauspar account plus Bauspar loan) can be disbursed.

Bausparen (Contractual An especially safe method of saving money to make housing dreams come true,
Savings for Housing)
it allows the saver to access a loan through the contractual savings plan at a
favourable, fixed rate of interest.
Bauspar Contract

Contract between the institution offering contractual savings for housing plans
and the customer (saver) in which key parameters are set down for the savings
and loan phases.

Bauspar Loan

A loan that is used for housing; the interest rate is set by means of the
Bauspar contract.

Bauspar Sum

Contractually stipulated amount comprised of the savings balance on the

Bauspar account and the Bauspar loan through the contractual savings plan.

Bausparkasse
(Contractual Savings
for Housing Company)

Special financial institution offering Bausparen from a closed collective.

Collective

Community of savers who save money on the basis of Bauspar contracts and
repay Bauspar loans.

Government Subsidy

State support for Bauspar clients, that is paid to the customers Bauspar
saving account.

Loan Phase

Period between allocation and full repayment of the Bauspar loan.

Savings Balance on the

Bauspar account

Deposits made by customers; interest is paid on the balance and in

certain cases the government also makes a contribution.

Savings Phase

Period between the time the savings contract is signed and the allocation; it is
during this phase that the customer builds up his or her savings balance on the
Bauspar account.

Schedule of
Rates and Fees

Framework for Bausparen with essential key figures, e.g., interest rates for the
savings and loan phases, savings and principal repayment amounts, fees as
applicable

Glossary 19

Reach out to us we look forward to

speaking with you personally.
Christian Oestreich
Head of International Markets
Tel. +49 791 46-2179
christian.oestreich@schwaebisch-hall.de

Michael Dorner
Head of International Projects
Tel. +49 791 46-2825
michael.dorner@schwaebisch-hall.de

Dr. Jirka Gehrt

Head of Foreign Investments

Bausparkasse Schwbisch Hall

International Markets
Crailsheimer Strae 52
74523 Schwbisch Hall
Germany
Telephone: +49 791 46-3706
International.Markets@schwaebisch-hall.de
www.schwaebisch-hall.de

20019671 MAV 08/14

Tel. +49 791 46-6734

jirka.gehrt@schwaebisch-hall.de