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ZOPA - interest added at the beginning?
![[Deleted User]](https://us-noi.v-cdn.net/6031891/uploads/defaultavatar/nFA7H6UNOO0N5.jpg)
[Deleted User]
Posts: 0 Newbie
in Loans
Probably stupid question but I see that ZOPA add the interest at the beginning.
If I have a 12 month loan, but repay early in say 6 months, does the interest recalculate?
Or am I still liable to pay the entire amount inc interest originally calculated?
If I have a 12 month loan, but repay early in say 6 months, does the interest recalculate?
Or am I still liable to pay the entire amount inc interest originally calculated?
0
Comments
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I would expect the interest to re-calculate. Note they may charge an additional 58 (~ 2 months) days interest on any settlement.
They are most likely showing the "balance" as if you paid each monthly instalment as is.0 -
They front load the loan yes but if you make extra payments / pay it off early, the interest will be recalculated.
You can read some more information here: http://help.zopa.com/customer/portal/articles/24741470 -
The interest isn't front loaded. It's just how they display it.
Interest is accrued daily, so early settlement wiil avoid future interest.0
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