This year DSL Bank will be providing private housing loans backed with KfW funds. To this end Deutsche Postbank AG, of which DSL Bank is a division, and KfW Bankengruppe signed their first global housing loan agreement for EUR 700 million in Frankfurt today. Global loan funds will thus be available to private individuals for home purchase and for construction measures on owner-occupied housing. The particular advantage of this arrangement is that the global loan gives DSL Bank access to funds to which KfW’s favourable conditions apply.

“Through our cooperation partner, customers can benefit fully from the advantages of KfW funding,” emphasised Dr Wolfgang Klein, who is the Postbank Board Member in charge of the DSL Bank brand. “This adds another interest advantage to DSL Bank’s comparatively favourable conditions.” Klein announced that he would be reviewing the possibility of using KfW’s promotional model for other marketing channels at the Postbank. DSL Bank’s financing products are marketed solely through freelance agents and cooperation partners.

“With today’s global loan, we are pleased to extend our successful cooperation with the Postbank to the area of housing finance. The Postbank is a strong partner for the marketing of our promotional products in Germany,” explained Dr Günther Bräunig, a member of Board of Managing Directors of KfW Bankengruppe. “The global loan for private housing construction is an up-to-date financing instrument with a broad promotional impact,” he went on to say. “It is of particular advantage to private home owners/builders and also benefits the construction industry in Germany, particularly construction-related crafts.” Further cooperation is planned between KfW and the Postbank in the area of global loans.

The global loan is one of KfW Bankengruppe’s promotional products available to all credit institutions and comes in two variants – for private housing construction and for SMEs. It offers banks flexibility in structuring their lending and is easy to handle. Since the global loan was introduced in 2002, KfW Bankengruppe has committed just under EUR 18 billion to commercial banks and Landesbanken for the purpose of promoting SMEs and private housing construction.