Loan early redemption fees

[DeanR32]

Morning PH

I’m looking to get a loan in the next few days. It’s not any massive amount, and I intend to pay it off with a chunk in a years time.

Do early redemption charges vary by length of the loan? Instead of getting it over, say 2 years, would I be better to pay it over 5 years, knowing full well I won’t be going the full term, or will they penalise me over the amount of years the loan is over?

Sorry for all the questions but I’d like to know before I start applying for said loan

Cheers

[DeanR32]

Thanks for the replies guys

I applied for a loan with my bank this afternoon, which didn’t have the best rate, but thought I’d keep everything in one place.

I must be a massive risk because it went from 3.4 to 9.9% (subject to underwriters approval). Not sure if my rating is good or bad (Noddle says it’s 665 whatever that means) I don’t have anything bought on credit and have one credit card that clears itself monthly.

Anyone know why Experian reckon my rate has to be 9.9%, or is it all a crock of st? Who the hell gets their best rates???

[DeanR32]

I did ask them about penalties, and they did say there’d be a maximum 2 months penalty. I didn’t expect the rate to jump so high though. I’m not sure how it all works.

Should I expect every lender who uses Experian to bump the rate up so drastically now?