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Early settlement of loans

Hi
after some advise if anyone can help
got a unsecured personal loan with m&s 3 years, monthly payments of 240 paid 10 payments
total amount payable 8665.2
just had an esf of 6498.9 which means i have over 2years left and they want the 8665.2
I thought if you settled early that the interest over the remaining period would not have to be paid?
under their agreement
5. early settlement
where you make any early repayment, there may be a reduction in the amount of interest you will have to pay
if i pay early then actual interest rate is 20%
not apr of 9% as per agreement
ant advise would be good
thanks
brett

Comments

  • Tixy
    Tixy Posts: 31,455 Forumite
    Are you sure they have given you a settlement figure - rather than a gross balance on the account?
    A smile enriches those who receive without making poorer those who give
    or "It costs nowt to be nice"
  • brettrbibb
    brettrbibb Posts: 2 Newbie
    edited 11 January 2013 at 7:07PM
    Yes they said it was valid for 30days and would send a copy in the post
This discussion has been closed.
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