blimey

?

scoob_babe

there are a few users but IIRC SN is now unavailable for use at work

dsmith

I used to.

but got browned off going to edinburgh to be told to make things worse....

Deano

edit: and you do mean Royal Bank of Scotland Group dont you ?

[Edited by dsmith - 4/28/2003 3:48:54 PM]

blimey

What I want to know is this:

Is the interest rate on a personal loan continually calculated on the initial sum borrowed or on the reducing sum?

dsmith

I was in IT not lending but...

Its my understanding that the rate on all personal loans is fixed for the period of the loan.

The interest is calculated based on the outstanding balance.

The real question is how often is the outstanding balance calculated in terms of payments creditted/interest debitted to the previous outstanding balance. I dont have a definitive answer but seem to remember that payments are creditted monthly, interest is debitted quarterly and the interest owed is calculated monthly.

Ring your Branch they'll pass you on to a Call centre who wont know

Deano

blimey

Been into my branch to speak to the dimwitted financial advisor (who can't even operate a computer) to try to find out why after a year and a half I actually owe more than I started with....couldn't get a straight answer out of her at all.

druddle

I think it is cos at the start of your loan, they worked out the interest for the term of it an added it in one lump, so the balance you see is exactly what you will pay. I had the same situation with an Abbey National loan.

Edited to add :- I now have a loan with Cahoot that shows tha balance of the loan if i was to pa it off today. Interest is caclulated daily and the final figure adjusted.

Dave

[Edited by druddle - 4/28/2003 5:16:10 PM]

J4CKO

iTrader: (1)

Certainly seems like it for me, the overdraft is going down tho.