Fixed Sum Loan

Dandydon83

I have a fixed sum loan with Santander (originally an A&L loan) & i can afford to make extra payments on it. When i contacted them, they said i couldnt do this unless i refinanced the loan.
I've read through the T & Cs more than once but it doesn't back up their claim at all. :mad:
Help please!

CLAPTON

what do the T&Cs say

Dandydon83

Straight from the t&c's:

'4 Order of Payments
Monthly and other payments we receive from you will be applied by us to pay sums due under the agreement in the following order, and within each of the categories below in the order in which they fall due for payment:

• fees & charges;
• capital & interest due; and
• arrears of capital & interest.'

BenL

Are these the terms and cons from your loan? or the terms and cons for currently sold loans?

Ben

Dandydon83

I thought 'monthly & other payments we receive from you....' implies that i can make extra payments

Dandydon83

yes from my loan

CLAPTON

in the T&Cs of the loan there should be something about early settlement and whether you can overpay; is there either?

Apples2

We see lots of Santander posts.

Par for the course is that the day you make an overpayment, your Direct Debit goes to pot and you have the Devils own work to get things back on track. Missed payments and defaults-a-plenty.

Tread carefully.

Dandydon83

Straight from T&Cs:

'9 Your right to repay your loan
You may repay your loan early by giving us notice in writing and paying us all amounts payable less any rebate of interest you may be entitled to by law.
Indictive examples of the amount required to repay your loan at different stages can be found in the Key Information section of this agreement.
We will if you ask us provide you with a written statement of the amount required to repay your loan.'

CLAPTON

well, that maybe looks like you have no right to overpay on a monthly basis; your only option would be to settle the loan fully.

Dandydon83

Is that not contradicting the earlier part of the agreement which says:

'monthly & other payments we receive from you....'