Paying off Lloyds TSB loan early - advice please!

DCFC79

kickasskayla wrote: »

Hi all,
I'm a newbie on here so sorry if this is a repeated thread!
Before coming to this site and finding this very useful information I asked for a settlement from Lloyds which is my balance of £14029.18 plus £250 caped fee. This is valid for 30 days .

Does it make any difference if I phone them up straight away and pay £13612.53 which is less one months DD £415.65 + £1 (DD date 5th Dec) or do I have to wait until the 30 days is up on the quote (24th December)? If I have to wait until 24th Dec, what will happen to the January payment?

Or can someone please suggest the best thing to do as I just want to clear this loan so I can start saving for the future?

Many thanks

Should have started a new thread.

jonesMUFCforever

Agree with DCFC about starting a new thread but yes what you plan to do will reduce the ESF considerably.

FURIAN

I have a loan with rbs which has 13,600 left on it.

I rang them up for a early repayment figure and the quoted me £14350 to repay if off. I have read this thread and would this work with rbs aswell if i pay off 13,500 off tomoz would i occur the 58 days early repaYment charge ???

Can i have any help with this ???

tonkinator

Hi Furian,

So long as your agreement doesn't say that they will charge you for a partial overpayment, as well as for clearing the balance then you can use the technique discussed in this thread.

What's your interest rate? That settlement figure seems to be quite high compared to your current balance. Does that include the 58 days interest charged for paying off early? How long have you had the loan?

tonkinator

Also, I did this with Sainsbury's a while back, was a bit of a nightmare trying to work out the exact amount I had to pay to leave the right amount remaining.

They wouldn't tell me (or put me through to anyone that could) what amount I needed to pay make sure I left some balance remaining. I ended up paying 58 days interest on about £70, rather than it being more like £2 that had 58 days' interest charged on it

I complained about the fact that nobody could answer me (politely) and they sent me some Sainsbury's vouchers, which made me look at them in a better light!

Natalie18_2

Hi I have a similar problem.
My original loan amount was 8500 pounds. Recently I paid a lump sum and my balance now is 828. My monthly payments are 276 per month. can someone tell me how much exactly should I pay to clear my loan and pay as little as its possible in terms of early settlement fees. ? Thank you

montyzuma

I have £3430 left to pay on a £5k 60mth lloyds TSB loan, and wish to pay it off,what would be the best amount to pay so as to incur minimum charges on my final payment? the loan has 38mths to run.

Many Thanks

frennick

I was in the exact same situation last year. I had to wait for the settlement figure they quoted me to run out, then pay a lump sum and leave one remaining DD payment, worked a treat and I saved myself a few hundred ££s!!