Barclayloan Early Repayment charge, avoidable?
Discussion
I have a Barclayloan that I want to get shot of, but would like to avoid the early repayment charge, T&Cs:-
''Early Repayment Charge 30 days The early redemption charge is equivalent of up to 30 days interest''
I am able to make over-payments.
So using made up figures, If I owed £10000 @ £250 a month, I was thinking of making say a £9750 overpayment, then the monthly payment will go out, avoiding penalty? Or would it be 30 days interest on the balance of £250? Or will they get me for the whole amount anyway...
I have heard this overpayment can work, has anybody ever done this succesfully?
Many thanks.
Jimboka said:
I have a Barclayloan that I want to get shot of, but would like to avoid the early repayment charge, T&Cs:-
''Early Repayment Charge 30 days The early redemption charge is equivalent of up to 30 days interest''
I am able to make over-payments.
So using made up figures, If I owed £10000 @ £250 a month, I was thinking of making say a £9750 overpayment, then the monthly payment will go out, avoiding penalty? Or would it be 30 days interest on the balance of £250? Or will they get me for the whole amount anyway...
I have heard this overpayment can work, has anybody ever done this succesfully?
Many thanks.
We have done this a couple of times in the past, but with Lloyds.''Early Repayment Charge 30 days The early redemption charge is equivalent of up to 30 days interest''
I am able to make over-payments.
So using made up figures, If I owed £10000 @ £250 a month, I was thinking of making say a £9750 overpayment, then the monthly payment will go out, avoiding penalty? Or would it be 30 days interest on the balance of £250? Or will they get me for the whole amount anyway...
I have heard this overpayment can work, has anybody ever done this succesfully?
Many thanks.
We paid off most of the balance leaving a month and a bit to be collected by DD, Lloyds themselves confirmed it was OK to do beforehand. Penalty was charged on the blance prior to the last installment.
Haven't a clue if it's OK with Barclays . . . ask them.
Thunderace said:
We have done this a couple of times in the past, but with Lloyds.
We paid off most of the balance leaving a month and a bit to be collected by DD, Lloyds themselves confirmed it was OK to do beforehand. Penalty was charged on the blance prior to the last installment.
Haven't a clue if it's OK with Barclays . . . ask them.
I did ask but got a cagey response! I'll give it a go anyway, nothing to lose...We paid off most of the balance leaving a month and a bit to be collected by DD, Lloyds themselves confirmed it was OK to do beforehand. Penalty was charged on the blance prior to the last installment.
Haven't a clue if it's OK with Barclays . . . ask them.
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