Loan settlement query

warrants

Hi,

2 years ago I took out a small loan £3,000 to help purchase a new car after my old one was broke into and wrote off. As I was short of cash at the time I had the loan over 84months.(12.9%)

I am now in a position to pay this loan off after saving about £2,000 and have made 21 monthly payments of £54 at towards it so far, on ringing up the Halifax they have offered a settlement figure of £2,650. To me this seems unreasonable as I have made over £1100 in payments back to them - I was expecting them to add interest on and charge me about £2,100.

Is it right that I have to pay back the full £2650 or are Halifax inflating the figure?

thanks in advance

CLAPTON

did you have any payment free months at the beginning of the loan,
any missed payments?
and any PPI

warrants

No payment free months, missed payments and no PPI.

CLAPTON

roughly speaking after 21 payments you would still owe about 2,500 in capital so 2650 seems rather high but equally 2,100 is less than the capital remaining.

warrants

Thanks for your reply - is it worth me pushing them and complaining about the settlement figure, I mean is there anychance they would lower it?

jonesMUFCforever

warrants wrote: »

Thanks for your reply - is it worth me pushing them and complaining about the settlement figure, I mean is there anychance they would lower it?

No unless you can prove that it is wrong.
Take your CCA agreement to CAB and ask them to work it out for you.
You could actually do it yourself with a spreadsheet.

Have you also taken into account the early closure fee which is typically 2 months interest?