finance credit question

kmufc77

kmufc77

kmufc77

Soldato
Joined
15 Jul 2007
Posts
4,953
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hi im looking at ordering something which i will pay off in 36 months at £47 but im a little confused at the small print:

About your 36 month Classic Credit finance application

Classic Credit is simplicity itself.

#
It’s a personal loan with regular monthly payments of £47.32 payable until the loan is completed.

#
You can, of course, settle the loan at any time by requesting a settlement figure from the lender.

This type of loan attracts interest which is calculated daily and debited monthly in arrears on each monthly instalment date and in calculating the APR, no account has been taken of any variation which may occur in the Interest Rate.

will this mean i will pay more than £47 month?
 
Add it up - if 36 x £47.32 is more than the original borrowed figure then that price must include interest, otherwise it doesn't.

Sounds like that is the total cost per month though, from the way it's worded.
 
kmufc77 said:
hi im looking at ordering something which i will pay off in 36 months at £47 but im a little confused at the small print:

About your 36 month Classic Credit finance application

Classic Credit is simplicity itself.

#
It’s a personal loan with regular monthly payments of £47.32 payable until the loan is completed.

#
You can, of course, settle the loan at any time by requesting a settlement figure from the lender.

This type of loan attracts interest which is calculated daily and debited monthly in arrears on each monthly instalment date and in calculating the APR, no account has been taken of any variation which may occur in the Interest Rate.

will this mean i will pay more than £47 month?
Click to expand...

Yes, it means you will be paying £47.32 a month.
 
your better of getting a 0 interest credit card and paying for the goods on it, then cut the card and just pay, however make sure you pay the credit card and dont spend.
 
Thanks for your replys 36 x £47 works out about £350 more than the total which i knew i would pay some interest on the total amount

i was just worried that by the way its worded i will pay £47 a month and they will then add on interest ever month depending on the interest rate
 
kmufc77 said:
Thanks for your replys 36 x £47 works out about £350 more than the total which i knew i would pay some interest on the total amount

i was just worried that by the way its worded i will pay £47 a month and they will then add on interest ever month depending on the interest rate
Click to expand...

They'll front load the interest.
 
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