Loan help :)

vectra90

CLAPTON wrote: »

we need the full facts

loan amount
apr
any fees
what type of loan (i.e. personal loan, secured)
any payment free months at the beginning (which won't be interet free)
number of payments required
number of payment already made.



the economy is paying early via another loan depends upon the numbers but this I would guess is a very expensive loan


in principle it is possible to accrue additional interest if there is a payment free period at the beginning of the loan or payment holiday and so I suppose you could describe this as interest on interest but that would be paid whatever you do.
The important part is that when comparing a new loan to pay off the old one, both both incur interest on interest except for any early payment penalty

I kind of took the loan out without doing any looking about, I needed to book the courses that day so went into the bank and said I need a loan how much can you give me.... He typed away and said we can give you 13K, obv I didnt need that much. I'm at work just now but I will try and answer the questions

loan amount - £3k
apr - not sure
any fees - ?
what type of loan (i.e. personal loan, secured) - Personal
any payment free months at the beginning (which won't be interet free) - 2 months
number of payments required - 84
number of payment already made. - 10, well 8 because of the 2 free at the start

Like I said I took it out with no thought because I needed the money that day

vectra90

Yes I suppose I could save up and do it that way, its frustrating having quite a bit of extra money left over at the end of the month and not being able to knock it down that way with out paying so much interest.

While on the phone he said the offer was only valid till the end of the month. does that mean it could go up?

bargainbetty

New loans offer are time limited, in case your circumstances change. It might go up, it might go down.

Taking out more debt isn't the best plan - find out about overpayments on your existing loan, and save up for an early repayment agreement first. Use an ISA or the highest rate interest account you can to balance out any losses.

Good luck