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Car Loan

tinkerbell81
tinkerbell81 Posts: 34 Forumite
in Loans
I recently took out a loan for a car (with the car company) and my monthly payments were calculated with the interest applied in each monthly payment. Since the interest rates have dropped quite dramatically is there a chance that I can get my payments reduced. I know I'll still have to pay back the money I have borrowed, but a reduction on the interest I'm being charged.

Would anybody have any idea?

Comments

  • ~Beanie~
    ~Beanie~ Posts: 3,043 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Unless it was a variable rate loan (unlikely) then no, your payments won't reduce.
    :p
  • tinkerbell81
    tinkerbell81 Posts: 34 Forumite
    Ah well .... i'll check the paperwork anyway just in case, but thanks
  • iolanthe07
    iolanthe07 Posts: 5,493 Forumite
    Almost all unsecured personal loans are fixed rate. If the interest rate suddenly went up dramatically (as it has done in the past), would you be happy to pay more each month? Thought not.
    I used to think that good grammar is important, but now I know that good wine is importanter.
  • CHR15
    CHR15 Posts: 5,193 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    I dare say if it HAD been a variable rate loan, your repayments would have soared irrespective of the interest rate cuts
  • wr1ght
    wr1ght Posts: 407 Forumite
    Part of the Furniture Combo Breaker
    take a bank loan with a lower rate of intrest to pay the balance of the car off
This discussion has been closed.
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