Natwest £1000 Personal Loan

lea_t88

Hi,

I took out a £1000 loan from Natwest at the beginning of last month (March 2010) which was to be paid back in 12 monthly installments of £93.33 at 21.3% APR. (Total repayable = £1119.96)

I paid the first installment at the end of March.

In two weeks I will have the money to pay back the loan in full but I'm not sure if they will allow it without being penalised.
I have found the paperwork for the loan which says it is a 'Fixed-Sum Loan Agreement' and the only thing it mentions about repaying early is if it is 1/4, 1/2, or 3/4 way through the term and the amounts to pay are greater than what I would pay if I just stuck with the full 12 month term.

For example, to pay 1/4 way through the term is £875.20, but when added to the £279.99 I would already have paid makes a balance of £1155.19 and not £1119.96.

My questions are 1. Does anybody know if I would be able to repay before the 1/4 mark, and 2. Is it usual that if you do, you get charged more than sticking with it for a year??

Thanks for any replies
Lea

jonesMUFCforever

You should be able to repay the loan at any time but you will have to ask for a redemption figure.
Check whether early settlement charges will apply.

lea_t88

Thanks I know its a basic question but this is my first loan. Will call them when I have the cash in 2 weeks.