The early repayment/redemption figure is pretty much the same for both loans, which is around £6,600 each. Repaying 1 would give me the biggest saving while repaying 2 would free up almost twice as much money as 1.
Which loan would you clear?
Its worth pointing out that which ever loan is cleared, the normal loan repayments for it will go towards clearing the other loan quicker
The only fee is an interest charge of 59days. The interest amount isn’t taken from the current balance though, I think its the amount of interest paid on the first repayment which is obviously higher at the start of the loan.
Loan 2 was for a much bigger amount so the fee is higher but don’t have the exact figure, I just got the redemption figures for both loans
Which one attracts more monthly fees/charges? I’d clear that one off first as you’d likely save more in the longer term by getting rid of the higher interest loan.
This isn’t true. If that’s your experience then it may just be how your loan balance was displayed. They charge you interest that’s accurate from 59 days (1 month + 28 days) of the day you make payment / give notice you want to close it early.
Any early interest applied to the loan (which isn’t on the actual balance of the loan) won’t be in the final repayment calculation.