Bamboo Loans early repayment figure

1 Post
Newbie
in Loans
I took a loan of £3000 from Bamboo Loans over 60 Months in October 2020 at an APR of 69.9%, monthly repayments of £145.77. I know the APR is scandalous but at the time I was desperate and I always intended to repay early when it was possible.
I have today requested an early settlement figure and they have quoted £3098.18, so I have made 9 monthly payments totalling £1,311.93 yet I still owe more than I had originally borrowed, when I discussed this on the phone they just said they calculated it in line with the Consumer Credit Act etc etc.
I have had several loans in my time and have never heard of this sort of situation, I knew it was high interest but I expected that around £40-£50 of my payment would be chipping away at the capital and I was expecting my settlement figure to be closer to £2500.
I have tried to look through the original paperwork to find where they explained this would've been the case and asked them on phone to refer to where it was detailed but they just again referred to Consumer Credit Act.
Does anybody have any idea if I have any recourse regarding this to get a lower settlement figure or am I stuck with what seems like an unfair amount given I have made 9 monthly payments and haven't paid back a penny of capital.
Thanks in advance
I have today requested an early settlement figure and they have quoted £3098.18, so I have made 9 monthly payments totalling £1,311.93 yet I still owe more than I had originally borrowed, when I discussed this on the phone they just said they calculated it in line with the Consumer Credit Act etc etc.
I have had several loans in my time and have never heard of this sort of situation, I knew it was high interest but I expected that around £40-£50 of my payment would be chipping away at the capital and I was expecting my settlement figure to be closer to £2500.
I have tried to look through the original paperwork to find where they explained this would've been the case and asked them on phone to refer to where it was detailed but they just again referred to Consumer Credit Act.
Does anybody have any idea if I have any recourse regarding this to get a lower settlement figure or am I stuck with what seems like an unfair amount given I have made 9 monthly payments and haven't paid back a penny of capital.
Thanks in advance
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Replies
Rat Race
They've already been given the correct answer. As the interest is so high and it's fairly early days in the repayment of the loan, little of the capital will have been paid off. Stick two months interest on top and they owe more than they borrowed if they settle today.
=(1+69.9%)^(1/12)-1
to arrive at the periodic (monthly) rate of interest of 4.516%
If you slot that into the PMT function you derive the monthly amount on the loan:
=PMT(4.516%,60,3000)
=145.78
Or within a penny