First Plus Loan - please help!

honory

We took out a £39,000 loan with first plus and have made 50 month's worth of payments at £500 a month. We have never missed a payment and wish to start overpaying so that we can clear it (it was taken out over 15 years). I phoned to get a balance and the loan still stands at £35,000 after £25,000 of payments. Every time we make an overpayment (minimum of 10% of the loan's balance) we are to be charged £60 and an unspecified interest charge will be added to the account. The APR is 13%. What on earth can we do to clear this as we are on a debt free programme and was to emigrate to New Zealand. We are ordinary customers (a family with one small child) who got into financial difficulties when one of us was made redundant hence the need for a consolidation loan. We are being fleeced of every penny we have on exorbitant interest rates and want to get out of it as soon as possible. Any advice will be greatly appreciated!!!

AMILLIONDOLLARS

What was the term of your loan? Have you got all the original paperwork to hand?, I would take it all to the CAB to see if they can help, to be charged £60 as well as an unspecified interest charge seems very unfair, surely they should be telling what that interest charge should be, hopefully someone with more knowledge than me will be along in a minute.

Good Luck!!

KatieKins

Hi, I don't know much about loans Im afraid, but I would recommend posting on the debt free wannabe board as a lot of them are very clued up about this kind of stuff! There must be something they can advise you to do.

AMILLIONDOLLARS

You might want to have a look at this as well!!

http://forums.moneysavingexpert.com/showthread.html?t=147375&highlight=FirstPlus