Settling Loan after a few months

Help
1

Hi, wasnt sure where to post this but just looking some general advice.

I need a loan, but for a few month’s only.

Am I right in saying that any interest is calculated on a daily rate rather than front-loaded?

I.e if I borrow £5k over 5 years and lets just say the interest is equivalent to £500 per year then woukd paying it off after 6 months means i only pay £250 interest.

The above is hypothetical but I just dont want to find out I have to pay back loads of interest, just the interest for the period borrowed before paying back?

Thanks

2

It’s visibly front loaded but if you pay early you pay for the days you’ve had the loan not the full term.

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3

Correct (in principle, give or take a little math)

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