We must learn to grow. We provide answers to some important questions about buying furniture, insurance and credit – with the friendly support of the consumer advice center in Frankfurt.
What should young people consider when starting an apprenticeship or study? What is quickly forgotten when it comes to moving into your own apartment, contemplating growth and experiencing the new freedom? We asked the Hessian Consumer Advice Center what is important for everything to go smoothly in the new phase of life.
Which insurance is essential?
According to the civil code, anyone who causes damage to another person can be held liable to an unlimited extent. A private liability insurance provides the necessary support, rejects unjustified claims or pays for justified claims. But beware: until the end of the first apprenticeship it is possible that there is still free insurance coverage through the parents’ family plan. But then you have to tell your parents’ liability insurance that you are doing an apprenticeship or studying. It is best to get written confirmation that you are also insured. And it should be an insured sum of 20 million euros.
Do you need a bank account?
In any case. The first checking account should be opened at the latest when you start studying or training. Many banks and savings banks operate a free checking account during training. When choosing, you should consider: Where is the nearest ATM? Are you offered an overdraft option? What are the loan rates? Stiftung Warentest offers a free online current account comparison at test.de/Girokonto-im-Test
What is there to consider when buying furniture?
It is important to know that the legal right of withdrawal of 14 days does not apply to sales contracts concluded in a retail store, unlike an online purchase. A typical case: the sofa is too big, it doesn’t fit through the stairwell or you just don’t like it. If it was bought in a store, the seller has the right to say: a contract is a contract. And you have to take the sofa out and pay for it.
You can often get purchases with zero percent financing. What does it mean?
Take a loan with a bank. Financing often contains pitfalls, such as insurance and hidden additional costs or another framework loan agreement. The usually small installments quickly distract from the actual purchase price. But even low installments with longer terms risk losing sight of monthly obligations and entering a debt spiral. Zero percent does not necessarily mean free and risk-free.
What are the benefits of capital formation?
In many companies, trainees have the opportunity to receive capital-forming benefits. There are various products that can qualify for capital formation benefits. They differ significantly in terms of returns, risks and costs. On the financial market, among other things, there are VL bank savings plans, more suitable for security-oriented investors, and VL fund savings plans, for those who aim for a higher return and are willing to accept fluctuations in value. . In many companies, trainees are also offered company pension schemes in addition to a capital-forming benefit contract. In this case, individual consultation is absolutely necessary if part of the contribution is paid with a wage sacrifice. These are always long-term contracts that require careful consideration to assess whether it makes sense in the individual case.
How does the post office keep up after a move?
You can submit a submission request to Deutsche Post online. You must make sure that you are actually on the Swiss Post website and that you have not unintentionally hired another service provider.
What about health insurance?
This is quite complicated: apprentices must have health insurance and should tell their employer which statutory health insurance they have selected. Most students, on the other hand, do not pay any contributions to health insurance, as they are covered free of charge by one of the parents in the compulsory health insurance system. If family insurance is not possible, compulsory student insurance offers affordable insurance coverage.
The health insurance contribution for students is the same for all health insurance companies. In addition, there is the contribution for social insurance and the additional contribution of the respective health insurance company.
Students with compulsory insurance who do not have family insurance are insured in the Student Health Insurance Program (KVdS) from 2020, regardless of the number of semesters studied. When they reach the age of 30, students must take out voluntary health insurance with a statutory health insurance company or take out private health insurance.
Students who previously had private health insurance can be exempted from compulsory insurance as students at the start of their studies. This exemption is irrevocable for the entire duration of the course. The exemption ends only when you start an activity subject to social security contributions. If in doubt, you should seek advice before giving up the obligation to take out insurance.
And what about the lease?
Tenancy law is very complex in Germany. For this reason, it is difficult to provide specific information that fits the respective individual case. Here, for example, the latest issue of the Stiftung Warentest of October 2022 can help. From page 64 onwards you will find an article on “Stress-free shared apartments”, which also deals with rental law issues.
Compiled by Peter Hanack
This and other information is also available directly on Verbraucherzentrale-hessen.de, individual consultation appointments can be arranged by calling 069/972 010 900.
