re early settlement logbook loans

[pugsly]

I have recently taken out a loan with logbook loans and have been told that my weekly repayment of £24 per week is made up of interst and a small amount of capital. What i want to know is if this is correct. In effect i am hoping to pay this off in seven months. I understand that my interst rate is 12.16% per week and my repayments are as i said £24 per week, if i maintain my payments i estimate that in seven months i should owe about £330 or so,. as my agreement is an 18month agreement would i have to pay a penalty as they told me they encourage people to pay off early. THE earlier you pay the less interst you pay. So why do they put you on a 18th term agreement.

[Guest Old_andrew2018]

Bump

[PaulW922]

Andrew

 

Repayments are calculated in accordance with the terms of the consumer credit act. As a very general rule (very general) you should expect to pay two months interest on top of what you owe. You would also be advised to get a settlement figure up to one month before you intended to pay off the loan as most loan companies allow for up to 30 days to settle (in other words another month of interest on top of the two).

 

Finally - as I am sure you are aware from the forum be very careful dealing with LBL. Make all your payments bang on time - never go into arrears no matter what the circumstances - they are a very nasty firm with highly dubious practices.

[Guest Old_andrew2018]

Actually its pugsly who is the OP, but good advice Paul I've clicked your scales, I most certainly won't go anywhere near LBL.

[alibobsy]

After all we read on here about LBL we settled our loan with them last year ASAP. I have to say hand on heart we had no problems with LBL, but we always paid on time, except for 3 occasions when we paid a few days late.

They did add charges for these late payments but refunded half the charges when we got the settlement, so didn't pursue. Just glad to get rid of them.

If you can settle do it at least then you don't have to worry about possibly losing your car anymore lol.

This and the overdraft were the most satisfying debts to clear for me.

Oh and I will keep the settlement letter forever lol.

 

ali x

[postggj]

hi pugsly

an 18 month contract at there apr

do you know/understand what the total ammount repayable is under the agreement. if charges are added, at there interest rate, it would take a life time to pay it off

 

please give details so we can help as this is prob a new agreement, before its to late

[sweetnsexyenglish]

I dont see their early settlement figures as being worth it, I took out one £500 loan and was advised wether I keep it a week or 4 weeks I would only pay £100 on top so I kept it for exactly 4 weeks and it cost me £831