Have Halifax duped me or have I duped myself?

chanz4

"Have Halifax duped me or have I duped myself? Hey guys,

I had a Halifax loan, let's say for £10,000. I made about 5 repayments and then decided I needed to borrow more. Rather than renegotiate my existing loan, I took out an entirely new separate loan - again with Halifax - and paid off the first loan. This was partly because I am lazy and wanted to do it all online, rather than converse with a human.

Because of the way they calculate early repayments on long term loans, I ended up paying back almost exactly the same amount that I initially borrowed, despite my 5 hefty payments. This is an unconventional situation because I wasn't moving lenders - just borrowing more. Same type of loan, same terms, same lender.

I feel like I have an argument for saying 'my first loan was with you, by paying it off with more money I borrowed from you, all I essentially did was expand on the first loan, so why have those first five payments on the original loan just been gobbled up by the nothing? Surely some of that repaid interest should count towards my new loan?'

Does this make sense and is it a valid argument?

Thanks "

chanz4

https://forums.moneysavingexpert.com/discussion/5267953