Barclayloan Early Repayment

Palmerama

This is my first post so be Gentle with me

I took out a Barclay loan to help fund my recent wedding and a car. The loan amount was for £16000 and costing me £354 per month.

I now have the funds to repay what I owe in full which at present is £11432.16 however when calling Barclays they kindly inform me that the settlement figure will be in excess of £11700 now I know they charge a months interest for early repayment but this seems excessive.

My question then is, my wife had a loan with Lloyd's a few years back which she also had the money to pay off in full. when she went into branch they said to repay most of the loan off in one hit and leave say just over one months payment on the loan then let the next monthly payment go out. then repay the rest of the loan via direct debit.

Has anybody else done a similar thing with Barclays as potentially I could be saving some money.

Thanks in advance.

Tixy

Hi

Its usually 2months interest (or 56 days) for early settlement.

Partially overpaying all but a small amount should work as you describe, however you may want to just double check your loan agreement to see that you won't be charged a fee for partial overpayments (legislation says that lenders are allowed to make such as charge but most of the mainstream banks don't - your T&Cs will confirm).

Palmerama

Thanks, I will take a look at the paperwork ;-)