The journey starts here - don't stop believing

Lemon_Tree

usually when you pay a front loaded loan of early then you get a redemption value which is usually less because of the need to pay less interest, i'm not sure what happens if you pay it off in little bits though, may pay to ask.

**Kat**_2

Very true, on my next visit to the bank I will. It's the last thing we are going to clear though so not a massive rush as such.

Kepp

Always nice to know though. And then, if you're as geeky as me, put it in your spreadsheet and then spend hours staring at it!

**Kat**_2

I already spend far too much time looking at my spreadsheets - putting in ridiculous overpayments such as "what if I got a £500 after tax payrise per month" etc :rotfl:

LittleMoog

hi Kat :hello:
Followed you over from Woo's diary and have been reading through. Well done on paying so much off already :T

We had Barclays reserves on 2 of our accounts, my current account, and the joint account, and they were the first thing we paid off, before I'd even fully had my LBM and found this place, as it was costing us about £250 a month in charges for £400 of reserve across the 2 accounts :eek::mad: Good luck on getting rid of yours

**Kat**_2

Thank you It's the bain of my life at the moment. I just can't seem to shift it. It gets paid off every month but we keep going back into it no matter how hard we try not to.

I am starting to hold my breath for the bonus in July - that will see shot of it once and for all.

Lemon_Tree

i'm now firmly of the opinion that reserves are criminal, maybe Martin should start an investigation of them. Thankfully i've never had one but LittleMoog those charges are rediculous.

**Kat**_2

Possibly - we'd be stuffed if it was just taken away but once it's paid off I can't wait to tell them where to stuff it!

Kepp

LittleMoog wrote: »

was costing us about £250 a month in charges for £400 of reserve across the 2 accounts :eek::mad:

That is scary! :eek:

LittleMoog

Lemon_Tree wrote: »

i'm now firmly of the opinion that reserves are criminal, maybe Martin should start an investigation of them. Thankfully i've never had one but LittleMoog those charges are rediculous.

It really was. Like Kat I tried to get it converted into an overdraft, as no matter how hard we tried, the charges took us back to the edge of the reserve. they refused, and said the the reserve was just a facility they offered, and we didn't HAVE to use it :mad::mad: of course the problem is that once you're in it it's so hard to get out of as the charges are so high.

I wish I'd rung up and cancelled them as soon as I got the letter about them being added to our accounts, we must have paid £ks in charges on them in the 18 months before I managed to get rid of them. It caused us to have a massive financial crisis, as we had to move house unexpectedly, and didn't have the money for a deposit, so had to be bailed out by my family which caused lots of problems for a while. It's all smoothed over now, and they're so relieved we're finally sorting out all this debt mess, they knew we were in trouble long before we did