Loan settlement figure

gtanny

Hi All,

After a not great credit rating i took a loan out with honeycomb finance for 10k in October last year with an horrifying 35% APR (unfortunately it was the best i could get and i needed the cash)

i now have 12k sat in my account to repay this at a much better rate of 14% (still not great but 5k less over the term), now i cant ring them till i get a break at work tomorrow but i tried looking online at settlement calculators but one gives me repayment figure of £9880 and the other worries me as it shows £10750.

i know you tend to pay the interest off gradually but surely in the 5 months payments totalling pennies under £1800 i should of paid off more then £120 of the loan?

i know only the loan company can give me a definitive answer and they will tomorrow but £1680 it seems a lot of interest in 5 months.

edit: just done some quick calculations and I'm getting around £9650 ish settlement figure so still harsh but i suppose i have little to no option if i want rid without a black mark on my file.

[Deleted User]

The interest is higher at the start of the loan, for early settlement they should only add 2 months interest.

[Deleted User]

The figures look about right.

gtanny

Cheers, seems steep but I understand how the loan works so it's fine.

I'll try negotiating if I get a helpful member of staff but I know I am very unlikely to get anywhere

Still going to be over 4k better off over the course of the loan and £100+ a month less outgoings so it's for the better to take the hit now.