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Loan early settlement
Hi, does anyone know how the interest is calculated if you pay off a loan early.
I took out a £1000 loan, first repayment being October 2016. The interest was 47.9% over 24 months, total amount payable £1465.68
Up to date I've paid £1,099.26
Thanks in advance
I took out a £1000 loan, first repayment being October 2016. The interest was 47.9% over 24 months, total amount payable £1465.68
Up to date I've paid £1,099.26
Thanks in advance
0
Comments
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Ask them for a settlement figure.
They need to rebate interest for the period you haven't had the money when you repay early. They are allowed to charge two months interest as a penalty. Not all lenders do that - but I imagine somebody giving a smallish loan like that on a high rate of interest will do so.0
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