Cancelling a Loan

Skyeeee

I wonder if anyone has any advice.

I recently took out a loan with Satsuma to pay a bill I had to clear. The loan was the last thing I wanted to get but I felt I had no other real options.

I now have almost enough money to pay back the loan (I will have the full amount in the next couple of days) and I'm within the 14 day cooling off period.

My question is would I be able to call and tell them I have changed my mind and cancel the loan? What would happen then? Would they take the money back instantly? I have never done this before and would jsut like some information on how it works from here and what happens.

Thanks

[Deleted User]

They'll give you a settlement figure which will be valid for a set period and ask you to make payment.

Remember that there will be interest to pay so don't underestimate the amount you need to pay.

Skyeeee

Thank you for your help and information.

If I was to call them today would they expect the money back today? I won't have it for another day or so but I want to inform them asap.

The interest I have accounted for the daily rate so hopefully that will be okay.

Thanks

[Deleted User]

You can pay them when you want - but the settlement figure will only be valid for a certain period.

Skyeeee

Sorry what do you mean?

Surley they will expect the money back quick sharp?

[Deleted User]

You'll have the length of time that the settlement is valid for, as long as it is within the 14 days.

If you don't pay within that window, you would need to ask for another settlement figure, which would then include any early settlement fees - eg 2 months interest.

They won't be pushing for payment. They will prefer that you exceed the 14 days.

Skyeeee

Thanks again for your reply.

The cancellation period will end this Thursday so will the full amount be due on or before then?

Nearlyold

Skyeeee wrote: »

I wonder if anyone has any advice.

I recently took out a loan with Satsuma to pay a bill I had to clear. The loan was the last thing I wanted to get but I felt I had no other real options.

I now have almost enough money to pay back the loan (I will have the full amount in the next couple of days) and I'm within the 14 day cooling off period.

My question is would I be able to call and tell them I have changed my mind and cancel the loan? What would happen then? Would they take the money back instantly? I have never done this before and would jsut like some information on how it works from here and what happens.

Thanks

If you are cancelling within the 14 day right to withdraw window you will have 30 days in which to repay the amount borrowed (plus accrued interest for the period the loan was in force).
Once you are outside the initial 14 day window you can still settle the finance but rather than just paying interest accrued to date the lender will typically charge up to 28 days extra interest or up to 58 days extra interest if the loan has more than 12 months to run. Your settlement letter will tell you how long the settlement quote is valid for, it will be in line with the number of days extra interest added.

Skyeeee

Thank you for your help and information. I have now given them notice to cancel the loan.

Thanks again.

System

Skyeeee wrote: »

Thank you for your help and information.

If I was to call them today would they expect the money back today?

You have up to 30 days to pay from cancellation.