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Help on how to save money to pay off loan
Options
Houndog6105
Posts: 141 Forumite
in Loans
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
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
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Comments
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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.0 -
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 month0 -
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.0 -
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?0 -
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.0 -
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 £48000 -
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 loan0
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21 months x £298 = £6258.Houndog6105 wrote: »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
If you pay it off today you will save £1458 in interest.Im A Budding Neil Woodford.0 -
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 asap0 -
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 possible0
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