Front loading on a loan

diannemarie

I took out a loan of £20,000 2 years ago with Northern Rock. I have been paying £273 a month since then.. and I still owe £20,000 if I want to pay it off today. Is this Legal?

CLAPTON

what was the APR
how long was the loan for
did you take out PPI
were there any payment free months
are you behind in any payments
is the loan unsecured
the agreement will say the settlement figure at 1/4, 1/2 and 3/4

diannemarie

It was 5.8% over 10 years

No PPI

No Payment free months

Never missed a payment

Unsecured

After 30 months its 20,013.46

After 60 months its 14,265.15

After 90 months its 7638.71


Think I'm going to look into this.. As this can't be right. Going to pay it off anyway, so just want to make sure I'm getting the best deal here.

dannynixon

You will have paid off the interest first, thats why you will still owe 20k

CLAPTON

there is something very wrong with the figures

are you sure the loan was 20,000... the figures would be about right if you had borrowed about 25,000?