Firstplus loan, the more I pay off loan higher interest charge?

jadex91

I have a first plus loan and it was for £20k, I have paid of £13k and have £7k left. Last year I had a statement through and I hadn't even paid as much as I have now, and my settlement interest were lower, a year down the line today I have paid off much more off of the loan but interest is how £3k, it's ridiculous. I am thinking of complaining as they never made this clear when I took out the loan, do you think il gt anything from it? Thanks

DevCoder

Youll get a clear response and breakdown of the settlement.

With loans the longer into the term you go the more capital you pay and the less interest (into the single monthly figure, this doesnt change).

With early settlement, the earlier into the loan you repay it the cheaper it becomes as you get a refund on the interest element.