northern rock loan or another flexi loan

Cozy9k

after successfully transferring my credit card balance over to hsbc for 0% till april 2008 (which will be payed off in that time)

i now need to sort my flexible loan with cahoot as the interest rate has gone sky high

now i was looking at a northern rock for:-

£6200 over 48 months without PPI

now looking over the FAQ's of the loan about repayments it says the following:-

Q. Are there any charges if I repay the loan early?
A. There are no early repayment charges so you are free to pay off your loan whenever you want at no extra cost.



Q. Can I make extra payments to my loan?
A. Yes you can make overpayments at any time. Your monthly payment will not reduce and the total amount of interest paid will remain the same unless you settle your loan in full. As overpayments reduce your outstanding balance, you may be able to pay the loan off earlier than expected as your loan term will reduce in line with any overpayments made. If you do pay off the loan early you may be entitled to a rebate of interest, which is calculated using the formulae prescribed by the Consumer Credit Act 1974.

Now as it is i want to pay this at the normal payment (approx £150 / month) until i have cleared the credit card then the payments will double to £300 / month at least to clear it quicker

my question is do i still get charged the same interest for the £6200 over 48 months even if i pay it off earlier, from the statement above that seems to be the case, but it says

"you may be entitled to a rebate of interest, which is calculated using the formulae prescribed by the Consumer Credit Act 1974."

so does that mean that i probably won't

basically thats what i need to do above but if anyone has any better ideas or knows of a loan where i can make overpayments too that would be great

or would i be better off going with another flexible loan

Thanks in advance

p.s. i was also toying with the idea of the m&s card (3.9%apr for lob) and the egg card trick to pay off alot of the loan but need more time to apply for these first, so best starting point would be to get the loan to get rid of the cahoot one