Log book loan covid deferral

nyermen

Doing some maths, its gained £800 in 6 months interest only, on debt of 600, suggests APR is over 200% indeed.  But I suspect there's some compounding that makes it worse.  Wasn't there a FCA ruling passed that a debt couldn't grow more than double the original debt?  A basic cap to cap silly interest rates for short term theft loans? 

2021BJ

nyermen said:

Doing some maths, its gained £800 in 6 months interest only, on debt of 600, suggests APR is over 200% indeed.  But I suspect there's some compounding that makes it worse.  Wasn't there a FCA ruling passed that a debt couldn't grow more than double the original debt?  A basic cap to cap silly interest rates for short term theft loans? 

Only for High Cost Short Term loans (less than 12 months.)

Logbook loans have always been typically >12 months and I suspect all are now longer than that to avoid being considered "high cost short term."

macman

OP, you don't seem to have understood the meaning of 'deferral'. It doesn't mean that any part of your loan is written off, it's just delayed payment, which is what you have had, However with such a high APR the interest builds up very fast.
If you tell us the APR then someone can check the interest calculation.