You *CAN* overpay a Barclays loan

randomnut

I've just been on the phone to Barclays asking about making overpayments on my loan. I got it in Nov 09 so it was before the EU ruling on new loans late last year.

The advisor told me that now you can just overpay a Barclays loan, even an older one like mine, just as you would a credit card. You can just transfer money into the loan account and it will go to reduce the term of the loan, rather than the monthly payments.

I hope this info helps someone.

DCFC79

why start a new thread when you could have put it in the other started yesterday which i think you have done

randomnut

Because I thought this title would be found more easily in a search if someone else was looking for this information.

DCFC79

randomnut wrote: »

Because I thought this title would be found more easily in a search if someone else was looking for this information.

well the other thread would have still come up if barclays loan was searched for

chanz4

but what are the sortcode and account numbers,i tried it before and never appears

gavin77345

I've done this... You just pone up the loan number and they do it for you... They then send out a new statement with the adjusted end date and you have effectively shortened your loan term.

CLAPTON

well, the issue is really whether the overall interest payable is reduced rather than whether the term is reduced

do we know whether this is so?

randomnut

Yes it stands to reason that the overall interest is reduced, as it is charged on a monthly basis on the outstanding balance and if you are making overpayments, you end this interest calculation sooner.

I could be wrong, i know so little about how this all works it's embarassing i'm just happy to be paying this off sooner.

randomnut

chanz4 wrote: »

but what are the sortcode and account numbers,i tried it before and never appears

You will need to ask Barclays for these. For me (as a Barclays current account customer) it shows up online as another account complete with sort code and account. So as it turns out I can just use the website to transfer money to that account as I would my ISA account to pay it off sooner.

I wish Barclays had written to me to let me know this is now an option back in december rather than HALF A YEAR LATER

bengalknights

I though only the term was reduced but the amount payable was the same as this is what you had agreed to repay in full unless at the settlement points of the loan?.

foxymum1977_2

i was told in my local branch only 2 weeks ago that i can only pay off the whole balance early & not make other additional paymens, i want to get rid of my loan a lot faster than when it should end in Aug 2013, they tried to book me for an app with their manager/loan manager to look at new 'lower interest' loans...yeah right more like they just want me to extend my loan when i was to do the opposite!