mark baker Posted January 22 Posted January 22 I have finance for a scooter I have cost 3300 and I'm paying back 6530 what can I do Quote
bud Posted January 22 Posted January 22 Welcome to the Mark. It depends what sort of finance you have. Some will let you pay it off early for a reduced amount. Was it arranged through a bike shop? Quote
Grumpy Old Git Posted January 22 Posted January 22 You could find out if there are any benefits (reductions) for paying the balance in full early (and take out a credit agreement with a company / bank offering a lower interest rate). Or, you could enquire about upping the payments (so as to reduce the interest) if you can afford it. Or, if you are over 18 and in employment, you could ask your employer for a loan (and agree better terms) to pay this off. Or, you could consider declaring yourself bankrupt - Research this on-line - It may be a viable option. Good luck! Quote
husoi Posted January 22 Posted January 22 You're not mentioning the length of the loan nor the apr applies to it. As @budsays, most lenders will allow you to pay it early or make additional payments. The interest amount will be reduced and likely you will have to pay some fee to the bank/lender Quote
RideWithStyles Posted January 22 Posted January 22 (edited) With that amount of interest of 100% which is beyond extortionate in its own right even if you had a terrible credit history for what is not a lot of money to buy an used motorbike these days. two ways it will be it’s over 5 or more years so the interest might not be very high but it’s dragged out that long it’s costing you? Your paying a load of fees and interest ontop of those fees to make it even worse? Example so even if it was over a year at 50% interest (which is very high but need to recoup something) you’d be paying average £1654 in interest, total £4954. over 3 yrs at 35% Pa which is 105%over term is £3468 interest, total of £6768. Which I’d say not competitive or reasonable in the slightest for its low amount so the risk is lower than say if you smack out at £20k bike, especially if it’s secured on the bike or something else but they set what they want to offer. I have a suspicion it’s more likely a garage/dealer has set this up with a lender provider, But more information would be great. i hope it’s contract/loan is secured to the bike at worse and not to anything worth while like a home or what not? Agree with the others, see what the contract says about early payments or ballon payments. Even if you can only do abit at a time it will help over the term. declaring yourself bankrupt is a absolute last resort. that will affect you for 5years at least, no bank, lender, provider will want to touch you for anything during that period at least and less than poke for a while after that and you’ll be worst than if you started from fresh with no history like you just left school. If you can get over this hurdle, least you have a bit of history and you might get better rates and offers later on. PS - read the contract fully and dont believe the dealers saying what your paying, I’ve known them (sales dealer) to cover up the figure that could be seen prior to a customer signing on the dotted line- dodgy. Edited January 22 by RideWithStyles Quote
Tiggie Posted January 22 Posted January 22 I would absolutely be looking at getting a bank loan or similar ( even credit card with low rate) and using that to pay it off early if at all possible. If you have just got the bike I'd even consider returning it if the dealer has a return policy and getting a better deal elsewhere. 1 Quote
RideWithStyles Posted January 22 Posted January 22 Agree with Tiggie. if first the contract allows early term release or payments and if the bank is open to what you want to do, it’s not unreasonable but depends on your circumstances. Even if early returns (most are 14-30 days) might impact your score and insurance costs, its a damn sight better and cheaper than paying the whole amount again to the leeches. Quote
Tinkicker Posted January 22 Posted January 22 13 hours ago, mark baker said: I have finance for a scooter I have cost 3300 and I'm paying back 6530 what can I do If you signed your name on the bottom line, you are paying back 6530. You read it, you signed it. We all get it wrong sometimes. Own it and learn from it. 1 Quote
Mawsley Posted January 23 Posted January 23 21 hours ago, mark baker said: I have finance for a scooter I have cost 3300 and I'm paying back 6530 what can I do Take out GAP insurance and park it in North London for a few hours. 5 Quote
Davidtav Posted January 23 Posted January 23 Contact the company and ask for an early settlement figure. And go from there. 1 Quote
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