Should I Make Extra Repayments to my Personal Loan
There are multiple sources of assistance for someone that has found a negative listing on their credit file. These can range from contacting your mortgage and finance broker, speaking to a friend, or simply doing a Google search. Some of the above sources will point you to the best option for you when it comes to credit repair and that is to contact the team here at Clear Credit Solutions.
Specialising in negative listings and helping you get them remove, Clear Credit Solutions is a simple and fast credit repair service. The team has years of knowledge to help you get those credit defaults, court judgments or clear outs taken off your credit report so that you can move forward.
Not only does the team offer a unique and fast service but also useful articles which consumers can browse themselves to gain further information on the industry.
Attaining the conclusion of your personal loan is bound to bring a sense of pride and achievement, yet paying it off sooner by making extra payments can be even more rewarding. Do you have a personal loan but are uncertain if additional repayments are permissible? Read this helpful credit repair article to uncover the answers!
Some personal loan lenders will allow you to make additional repayments on top of your regular loan instalments. This may help you to reduce the loan principal much faster than if you made the minimum-required payments. Plus, by reducing the principal amount you’ll potentially pay less interest over the life of the loan.
Yet, lenders make their money from the interest you pay; thus not all will allow this. Moreover, some may even charge a fee for additional payments made. Ensure to read the associated product disclosure statement with your personal loan thoroughly before taking any action.
If your personal loan lender offers the option for extra payments, you may also find that they have a beneficial redraw facility available. Redraw facilities enable customers to access any additional repayments made over their loan period from time-to-time. This can be useful in times of financial strain – such as overdue bills or sudden expenses – and even if you’re looking to finance an enjoyable family holiday!
Before you withdraw any extra payments you have made on your personal loan, it’s important to remember that this will raise the balance due and possibly increase interest rates. This can lead to higher monthly payments as well. Some lenders may require additional repayment before allowing access to these funds. Additionally, redraw facilities are typically only available for variable rate loans; if a fixed rate option is desired, then likely there won’t be one accessible.
If you’re struggling to get approved for a loan due to bad credit, know that you’re not alone. Many people have faced similar challenges, but there are steps you can take to improve your chances of getting the financing you need. At Clear Credit Solutions, we specialize in helping our clients fix bad credit so they can obtain the financing they need. We’ll work with you to remove negative listings from your credit file and help improve your score. Contact us today to learn more about our credit repair service!
Source: Jasper
If you have been declined credit, or are finding it difficult to get approved for a loan, then contact the credit repair experts at Clear Credit Solutions today. We can help to remove negative listings from your credit file, such as defaults, court judgements and fraudulent enquiries, which will give you a better chance of being approved for a loan. Contact us today for more information or visit our website to learn more about our credit fix service. Call now on 1300 789 783 or fill out in application form and we will call you.