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  • FIRST POST
    • Houndog6105
    • By Houndog6105 15th Jan 20, 9:56 AM
    • 121Posts
    • 14Thanks
    Houndog6105
    Help on how to save money to pay off loan
    • #1
    • 15th Jan 20, 9:56 AM
    Help on how to save money to pay off loan 15th Jan 20 at 9:56 AM
    I have an outstanding loan with Lendable for 4800 and it's costing me 300 a month and I'm trying to figure out how I can pay it off in full and then reduce my monthly payments

    Any suggestions please?

    To settle the loan I have to pay off the full 4800 so I'm not sure how I'm saving money by paying it off in full but at least I could maybe reduce the monthly payments on whatever I apply for to pay off the loan
Page 1
    • zx81
    • By zx81 15th Jan 20, 9:59 AM
    • 24,858 Posts
    • 27,751 Thanks
    zx81
    • #2
    • 15th Jan 20, 9:59 AM
    • #2
    • 15th Jan 20, 9:59 AM
    Cutting costs or earning more are the two options.

    Fill out a SOA on the debt free boards and they'll offer useful advice on cutting your costs.

    You'll save money by paying the loan off as you'll stop paying interest. Once you've paid it off, there will be no more monthly payments.

    In the meantime, make whatever overpayments you can. You don't need to pay it all off in one go and all overpayments will save you money.
    • Houndog6105
    • By Houndog6105 15th Jan 20, 10:00 AM
    • 121 Posts
    • 14 Thanks
    Houndog6105
    • #3
    • 15th Jan 20, 10:00 AM
    • #3
    • 15th Jan 20, 10:00 AM
    This loan was a 7500 loan at 298 a month and total cost of loan 10,637 at a fixed rate of 22.83%

    Loan was taken out April last year and I've managed to get it down to 4800 from paying off as much as possible each month on top of the arrangement of 298 a month
    • zx81
    • By zx81 15th Jan 20, 10:01 AM
    • 24,858 Posts
    • 27,751 Thanks
    zx81
    • #4
    • 15th Jan 20, 10:01 AM
    • #4
    • 15th Jan 20, 10:01 AM
    As post #2 - cut your costs/earn more to be able to throw as much as it as you can.

    You'll save a fortune.
    • Houndog6105
    • By Houndog6105 15th Jan 20, 10:03 AM
    • 121 Posts
    • 14 Thanks
    Houndog6105
    • #5
    • 15th Jan 20, 10:03 AM
    • #5
    • 15th Jan 20, 10:03 AM
    The 4800 outstanding is with the monthly interest already applied but to pay in full it's still 4800 so I'm still paying all the interest towards the loan from paying it off in full which is not saving me any money from paying off in full

    Or am I mistaken with that?
    • zx81
    • By zx81 15th Jan 20, 10:05 AM
    • 24,858 Posts
    • 27,751 Thanks
    zx81
    • #6
    • 15th Jan 20, 10:05 AM
    • #6
    • 15th Jan 20, 10:05 AM
    Yes, you're mistaken. You need to pay the outstanding capital. The future interest will then not be charge, as there is nothing to charge it on.

    Request a settlement figure, which will be current balance plus up to two months' interest.
    • Houndog6105
    • By Houndog6105 15th Jan 20, 10:12 AM
    • 121 Posts
    • 14 Thanks
    Houndog6105
    • #7
    • 15th Jan 20, 10:12 AM
    • #7
    • 15th Jan 20, 10:12 AM
    I have an option which says to pay loan off in full is 4800

    Then I have the remaining monthly payments due on my schedule which shows 298 month untill sept 2021 total cost 4800
    • Houndog6105
    • By Houndog6105 15th Jan 20, 10:14 AM
    • 121 Posts
    • 14 Thanks
    Houndog6105
    • #8
    • 15th Jan 20, 10:14 AM
    • #8
    • 15th Jan 20, 10:14 AM
    So it looks as though it's going to cost me 4800 no Matter which way I pay the loan off. I don't understand it. I always thought if I paid off in full the settlement figure would be lower than what's left outstanding on the loan
    • benbay001
    • By benbay001 15th Jan 20, 10:21 AM
    • 154 Posts
    • 148 Thanks
    benbay001
    • #9
    • 15th Jan 20, 10:21 AM
    • #9
    • 15th Jan 20, 10:21 AM
    I have an option which says to pay loan off in full is 4800

    Then I have the remaining monthly payments due on my schedule which shows 298 month untill sept 2021 total cost 4800
    Originally posted by Houndog6105
    21 months x 298 = 6258.

    If you pay it off today you will save 1458 in interest.
    Saving Pennys To Pay For Petrol Powered Toys
    Im A Budding Neil Woodford.
    • Houndog6105
    • By Houndog6105 15th Jan 20, 10:33 AM
    • 121 Posts
    • 14 Thanks
    Houndog6105
    That's right benbay sorry was my mistake

    I just worked it out then as I messaged it lol

    Need to get this paid off asap
    • Houndog6105
    • By Houndog6105 15th Jan 20, 10:38 AM
    • 121 Posts
    • 14 Thanks
    Houndog6105
    0% money transfer card maybe?

    Save me 1548 on interest if I get a decent card with 20+ months

    175 a month on a 28 month card if possible
    • zx81
    • By zx81 15th Jan 20, 10:40 AM
    • 24,858 Posts
    • 27,751 Thanks
    zx81
    Might be a challenge if your credit file is such that you have a 23% loan, but worth a try.
    • foxy-stoat
    • By foxy-stoat 15th Jan 20, 10:52 AM
    • 5,758 Posts
    • 3,562 Thanks
    foxy-stoat
    This loan was a 7500 loan at 298 a month and total cost of loan 10,637 at a fixed rate of 22.83%
    Originally posted by Houndog6105
    What did you need to buy for 7500 that made you borrow at 22.83% interest?
    • SharpMind
    • By SharpMind 16th Jan 20, 2:01 PM
    • 7 Posts
    • 1 Thanks
    SharpMind
    Well, just don't buy stuff you don't need. That's very simple, as I know.
    • DCFC79
    • By DCFC79 16th Jan 20, 4:12 PM
    • 35,690 Posts
    • 22,521 Thanks
    DCFC79
    Cutting costs or earning more are the two options.

    Fill out a SOA on the debt free boards and they'll offer useful advice on cutting your costs.

    You'll save money by paying the loan off as you'll stop paying interest. Once you've paid it off, there will be no more monthly payments.
    Originally posted by zx81

    Good advice here.


    Only 2 options I see are mentioned here.
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