Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

    • gustavski
    • By gustavski 17th Apr 17, 7:14 AM
    • 11Posts
    • 0Thanks
    loan interest rates
    • #1
    • 17th Apr 17, 7:14 AM
    loan interest rates 17th Apr 17 at 7:14 AM
    Most banks charge less interest for larger sums borrowed.
    If I only want a small loan say £1000 pounds, borrow say £10000 then pay back £9000 in the next month would the rest £ 1000 still be at the lower interest rate?

Page 1
    • zx81
    • By zx81 17th Apr 17, 7:48 AM
    • 13,159 Posts
    • 13,473 Thanks
    • #2
    • 17th Apr 17, 7:48 AM
    • #2
    • 17th Apr 17, 7:48 AM
    Yes. However, check whether the monthly payments would be unchanged.
    • Herzlos
    • By Herzlos 17th Apr 17, 8:15 AM
    • 5,631 Posts
    • 5,100 Thanks
    • #3
    • 17th Apr 17, 8:15 AM
    • #3
    • 17th Apr 17, 8:15 AM
    You'd need to check for early repayment fees, and would likely be stuck with the monthly payments from the full loan (so would pay it off much quicker).

    But I've done it (well, loan for £7500, repaid £1500)
    • Nebulous2
    • By Nebulous2 17th Apr 17, 8:22 AM
    • 1,566 Posts
    • 951 Thanks
    • #4
    • 17th Apr 17, 8:22 AM
    • #4
    • 17th Apr 17, 8:22 AM
    Some lenders give you the choice. For example, from Santander:-

    "Upon making a partial repayment you can choose whether to either reduce the term of your loan or your monthly repayment amount."
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

4,856Posts Today

6,605Users online

Martin's Twitter
  • Shana tova umetuka - a sweet Jewish New Year to all celebrating. I won't be online the rest of t'week, as I take the time to be with family

  • Dear Steve. Please note doing a poll to ask people's opinion does not in itself imply an opinion!

  • Luciana is on the advisory board of @mmhpi (we have MPs from most parties)

  • Follow Martin