qulified lawyers only please respond with laws or answers.my loan company will

K

Kenneth

New member
not let me pay off the lum sum? with out 11 months off interest tag on it . I suggested i wanted to pay off the car early and get around the 11 months of interest .Is there a law ?that will allow me . common sense says i should be able to pay it but the company's is saying i must pay off the car plus interest too. please help only if you no the right answers. thank you
 
It truly depends on the agreement.

Some loan companies will NOT allow you to pay it off without paying the interest, the interest is where they make their money.

If you are asking if there is a law on the books that forces the laon company to allow you to pay off early and reduce the interest, the answer is no.
 
It depends on what was stipulated on the contract. If the loan states specifically that if you prepay you must pay the interest as well then you are out of luck.
 
The question is governed by your contract, not by law. Nothing prevents you from agreeing to a contract by which you agree to pay interest for at least eleven months. Such a clause is quite common in mortgages.
 
Back
Top