Cancellation within 14days

[BRIGHTHOPE]

Have a loan with Payday Express which I've repaid early, on the 13th day. They've insisted that I pay the full amount of interest. I've tried telling them that I should pay a lesser amount because I'm cancelling the agreement. They are saying that I can't cancel, as my agreement with them started when I took my first loan with them several months ago, and so consequently the 14 days have expired. This loan just settled was a new loan and was only 13 days old. Are they correct or am I?

[MoneyHole]

They've probably put a sneaky clause in their terms that you agreed to when you agreed to the loan.

 

For the sake of 1 days interest I would just pay them in full and never think about using them again!

 

Generally I found the payday lenders were a bit hit and miss with early repayment - Wonga for example seem to encourage early repayment and can all be done self service, Mr Lender wouldn't budge so I gave them a dose of their own medicine by not repaying them until the due date even though I could have paid them off 3 weeks early, and The Loan Store had no problems with me using the 14 days clause to save me some interest on that loan.

[26072004]

You are correct.

 

a new loan would have meant a new credit agreement and a new agreement must have a 14 day cancelation clause by law.

 

I assume you have alreaday paid them, but if not tell them they will be reported to the FOS (pleaes dont bothyer with the OFT) if they dont cancel and reduce interest charges