Car hire purchase finance question

[irish boy]

Hey guys.

Buying a new (to me) car this week. (Fk8 civic type r….irrelevant to the question but this is pistonheads)

Without getting boring with exact figures I’ve worked out that the dealer finance is charging £48 per month interest. (Total interest charges divided by the number of months)

The same lump sum sitting where it is currently generates £43 per month interest.

So rather than reduce savings I was just going to take the hp. My question is this…..

Is the interest front loaded? So if I settle after a year should savings interest drop or I sell the car or just decide to settle am I actually worse off?

Sorry if this is obvious but I’m not up in car finance and Google is not clear.

[simon_harris]

every recent loan I have seen has been front loaded so if you decide to pay off early there is no saving to be had. check the small print though it should tell you.

[irish boy]

simon_harris said:

every recent loan I have seen has been front loaded so if you decide to pay off early there is no saving to be had. check the small print though it should tell you.

Cheers. Went through the agreement and there’s nothing said about it.