We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
GE Money secured loan - early redemption charges
One of my friends recently took out a loan via a broker for £12,000 with GE Money - with broker fees on top the total amount borrowed is £13150.
He's now decided to try and get his finances in order, but looking at the agreement the early redemption charges are slightly confusing. The loan is over 180 months, and has redemption costs listed for paying the loan off after the first, second and in the final quarter of the term. These take the form of £915 to be paid for every £1000 borrowed after the first quarter, £795 after half the term etc.
Additionally, in the terms and conditions, there is an additional charge of one month's interest for early redemption. What isn't clear is what the charges will be for early redemption within the first quarter of the term (the loan itself is only a couple of months old).
Can anyone give a clue as to what charges might be payable if the loan is paid off before the first quarter is complete? I can't believe it would just be the one month's interest charge, because the other early redemption figures seem heavily weighted in favour of GE Money
Thanks
Shim
He's now decided to try and get his finances in order, but looking at the agreement the early redemption charges are slightly confusing. The loan is over 180 months, and has redemption costs listed for paying the loan off after the first, second and in the final quarter of the term. These take the form of £915 to be paid for every £1000 borrowed after the first quarter, £795 after half the term etc.
Additionally, in the terms and conditions, there is an additional charge of one month's interest for early redemption. What isn't clear is what the charges will be for early redemption within the first quarter of the term (the loan itself is only a couple of months old).
Can anyone give a clue as to what charges might be payable if the loan is paid off before the first quarter is complete? I can't believe it would just be the one month's interest charge, because the other early redemption figures seem heavily weighted in favour of GE Money
Thanks
Shim
0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.3K Banking & Borrowing
- 254.4K Reduce Debt & Boost Income
- 455.4K Spending & Discounts
- 247.2K Work, Benefits & Business
- 603.9K Mortgages, Homes & Bills
- 178.4K Life & Family
- 261.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards