We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

Paying off a loan

Hi there
I was wondering if someone had any advice or knowledge about loans.
I have a loan which I am paying off every month. Some months I have paid off a little extra but it hasn't really affected the amount at the end of the month due to the interest. I was wondering if there was a better time of the month where you could pay off extra and get the maximum benefit, e.g the last day of the month or the 1st day of the new month etc.
Hope that makes sense :)

Comments

  • DCFC79
    DCFC79 Posts: 40,644 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Stresspot wrote: »
    Hi there
    I was wondering if someone had any advice or knowledge about loans.
    I have a loan which I am paying off every month. Some months I have paid off a little extra but it hasn't really affected the amount at the end of the month due to the interest. I was wondering if there was a better time of the month where you could pay off extra and get the maximum benefit, e.g the last day of the month or the 1st day of the new month etc.
    Hope that makes sense :)

    Ask the loan provider.
  • Arleen
    Arleen Posts: 1,164 Forumite
    1,000 Posts Combo Breaker
    Interest is accrued daily, so the sooner the better.
  • [Deleted User]
    [Deleted User] Posts: 35,383 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    As early as possible.

    All repayments will make a difference, as the interest will be reduced.
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 353.5K Banking & Borrowing
  • 254.2K Reduce Debt & Boost Income
  • 455.1K Spending & Discounts
  • 246.6K Work, Benefits & Business
  • 603K Mortgages, Homes & Bills
  • 178.1K Life & Family
  • 260.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.