two different interest rates on same loan?

daleharris

I took out a career development loan with Barclays Bank in 1999. Upon reading about the mis-selling of PPI (payment protection insurance) I dug out my old loan agreement and found two interest rates quoted on the agreement. I'm now investigating the interest rate charged and will supply details below. However, in case you suspect that I have been charged PPI non of the statements nor loan agreements state that anything extra has been included (PPI, VAT, etc). These are the rates quoted in the loan agreement:

LOAN AMOUNT £ 4340.00
TOTAL CHARGE FOR CREDIT £2062
TOTAL AMOUNT PAYABLE £6402.00
I]stating APR12.6% in a seperate box[/I
MONTHLY REPAYMENT £106.70
NUMBER OF REPAYMENTS 60

I]then it states[/I
Interest at a rate of 16.7% p.a. will be charged from one month before the first monthly repayment date specified below.

The loan will be unsecured.

Can you help clear this up?
Thanks!
Dale

CLAPTON

guessing but maybe

career development loans usually have an interest free and no payment period of a year ...

when interest is being charged (i.e. after the first year ) then it charged at 16.7% pa
but taking into account the first interst free year the overall APR for the full loan period is 12.6%