Barclays Career Development Loan - Early Settlement Penalties?

tomhagen

Thanks for all your efforts MSE, great site and excellent tips.

I have a specific question regarding the Barclays CDL and repaying the loan early, before the interest payments are due to begin. Under Barclays Terms and Conditions, would I be penalised for paying off the full amount of the CDL (eg. in a "ditch and switch" to a personal loan with a lower interest rate) before the two month holiday interest ends?

As can be seen in the following link, under the summary tab, (ww.bank.barclays.co.uk/Loans/Ourloans/ProfessionalandCareerLoan/P1242557963934) it says "there is no early settlement fee", but it also says "Default fees -
We may charge you for any costs or losses we incur as a result of you breaking your loan agreement."

My question is basically that by paying off my CDL loan fully before Barclays can begin charging interest, will I be penalised either in the form of fees, or liability for the amount in interest Barclays will miss out on as a result of me ending the loan agreement early?

Any help would be much appreciated. Thank you.

jonesMUFCforever

In my eyes paying back a loan early does not mean you are breaking your agreement.
However Barclays are the only people who can give you a definitive answer.

dmg24

Last year Barclays allowed early settlement with no penalty. However, I wholly agree with jonesMUFCforever, the only people that can tell you for sure is Barclays.

bengalknights

Barclays usually charge one month extra payment for early repayments

tomhagen

Thanks everyone, yes I am going to call Barclays shortly requesting this information, but I somehow have the feeling that I will not be a given a clear answer

Anyway I will post up what they tell me.

flutterbyuk25

I am interested in this too as I may apply for this CDL.

It does say on website that there are no early repayment fees but no mention of penalties.

x

CLAPTON

While it is sensible to be caution and suspicious in life, in this particular case it does seems very very very clear and unambiguous.

Just phone them up and ask them to send you a settlement figure in writing