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Bingley Bloke

Debt Free Today – Woohoo!

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Went to the Halifax today and paid-off the 60 month £7,500 personal loan I had which wasn't due to finish until November '07. I'd managed to accumulate a fair surplus in my current account and suddenly realised that there was more than enough, when combined with the money in my ISA, to clear the debt. The 'early repayment penalty' was only about £36 too so much happiness all round. When I walked into the branch and explained to the girl that I had a personal loan with them her expression suggested she was thinking 'Oh no! Not another who can't pay!!', so it was comical seeing her expression of pitiful dismay turn to one of utter shock when I told her I wanted to pay it off. It suggested the type of total 'this type of thing just doesn't happen in real life' disbelief that I imagine Kirstie Allsop will have when house prices do the inevitable. What fun! And I'm £156.42 a month better off now :)

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Went to the Halifax today and paid-off the 60 month £7,500 personal loan I had which wasn't due to finish until November '07. I'd managed to accumulate a fair surplus in my current account and suddenly realised that there was more than enough, when combined with the money in my ISA, to clear the debt. The 'early repayment penalty' was only about £36 too so much happiness all round. When I walked into the branch and explained to the girl that I had a personal loan with them her expression suggested she was thinking 'Oh no! Not another who can't pay!!', so it was comical seeing her expression of pitiful dismay turn to one of utter shock when I told her I wanted to pay it off. It suggested the type of total 'this type of thing just doesn't happen in real life' disbelief that I imagine Kirstie Allsop will have when house prices do the inevitable. What fun! And I'm £156.42 a month better off now :)

Well done! Reminds me of when I went into HSBC and paid off the £600 balance on my credit card in cash. The spotty oik who served me looked as though he thought I should be sectioned. "What the hell is he doing?" he was probably thinking, "doesn't he know all that cash could be, like, spent on stuff, and everything?".

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Good stuff.

Feb 07 for me. I could pay it off now, but I like the capital in the bank. I know it doesn't make any sense but I like my Sold to move fund to remain complete.

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Guest muttley

Good stuff.

Feb 07 for me. I could pay it off now, but I like the capital in the bank. I know it doesn't make any sense but I like my Sold to move fund to remain complete.

Don't get sentimental. It's only money! Wouldn't your "sold to move fund" serve you better if it was reducing your debts?

Well done Bingley Bloke!!

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Welldone you!!

Any plans for the extra money?

I plan to pay mine off with the next 10-12 months...extra cash will go to the 'House Deposit Fund' :o)

x x x

That was spose to be a smiley face - :)

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Guest Bart of Darkness

Congratulations BB, and best wishes to anyone trying to do the same.

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Went to the Halifax today and paid-off the 60 month £7,500 personal loan I had which wasn't due to finish until November '07. I'd managed to accumulate a fair surplus in my current account and suddenly realised that there was more than enough, when combined with the money in my ISA, to clear the debt. The 'early repayment penalty' was only about £36 too so much happiness all round. When I walked into the branch and explained to the girl that I had a personal loan with them her expression suggested she was thinking 'Oh no! Not another who can't pay!!', so it was comical seeing her expression of pitiful dismay turn to one of utter shock when I told her I wanted to pay it off. It suggested the type of total 'this type of thing just doesn't happen in real life' disbelief that I imagine Kirstie Allsop will have when house prices do the inevitable. What fun! And I'm £156.42 a month better off now :)

I had a similar feeling when paying off my mortgage early in 2001 (Halifax). I finally killed it off after 7 years with one final overpayment. The biggest cheque I'd ever written at the time. Funnily enough the girl at the desk didn't seem that surprised. I sort of expected the manager to be called but there was no problem. You hand over a huge cheque and just get a scrappy yellow piece of paper (receipt) in return. Cost me a 40 quid fee for early repayment of the loan. The whole process took a couple of minutes.

The other odd thing is they offer to leave you with a 10 quid 'mortgage' which means they keep the deeds safe for the property at no fee (you get the tenner back if you want the deeds).

I chose to ignore that option and got to keep the deeds myself. I wanted to be totally 'mortgage free' !!

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Any plans for the extra money?

I'm going to stick it in my ISA for now and maybe look around for other more profitable investment opportunities. My priority is to save up as much as possible. When the price of a decent house is no more than four times my salary, either through wage inflation or HPC, or a combination of both, I'll look at buying. I'm in no rush to spend the money though a celebratory bottle of Champagne has been purchased. I think I deserve that much!

Thanks to all for their good wishes!

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Guest muttley

The other odd thing is they offer to leave you with a 10 quid 'mortgage' which means they keep the deeds safe for the property at no fee (you get the tenner back if you want the deeds).

We tried that with the NatWest circa 2001. Computer says no.

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We tried that with the NatWest circa 2001. Computer says no.

Not sure what you are trying to imply here Muttley.

Maybe you need to do some research.

Also, the paper deeds are of limited value, what really matters is the title registered at the Land Registry computer.

At the time I remember being given conflicting advice as to how (un)important the paper deeds were. Some people said stick them in a drawer or even chuck them in the bin! Some said they were of tremendous importance. I just photocopied them and gave the originals to my solicitor to hold at no fee.

I'm pretty sure the Halifax 'only' wanted a tenner to hold the deeds. I just wanted to pay the thing off and go home and celebrate so I politely declined their offer! I believe some lenders offer this service for free if you use them for other things like home insurance.

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Well done! You've worked damn hard for this day.

Look forward to spam mail from banks trying to shark you more loans with pictures of happy young people (not too white, not too black - you know) with a new BMW or kitchen. Or perhaps freeze-framed in the process of jumping onto a leather settee.

Resist!

I'm debt free in 2 months. And I've missed out on a LOT of stuff to get there.

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I know the feeling of paying of debts/loans early (did it with my uni loans) so nice one but shouldn't this be on MoneySavingExpert?

Damn, beat me to it. We can all give you a virtual hug if you like.

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Guest muttley

Not sure what you are trying to imply here Muttley.

Maybe you need to do some research.

All I was saying is that when we paid our mortgage off in 2002 we were advised to leave £10 on it so that the bank would keep the deeds. The bank refused, saying they didn't do that anymore.

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I did the same about 12 months ago - a personal loan that was DEBT upon DEBT of consolidation. Borrowred about 8K but after swapping all the time prolly paid back £13K :blink:

I paid it off and I am debt free now apart from a WIDESCREEN LCD on Interest Free Credit card. Will be paid off with NO INTEREST WHATSOEVER.

I DID HOWEVER LEARN A TIP FOR PAYING OFF A LOAN!

If you pay £150 a month for a loan. Pay off ALL the loan MINUS 3 payments! i.e. If you owe £12,875.43 then pay £12425.43 as a LUMP PAYMENT. Then let the loan expire with the final 3 payments. They CANNOT charge you an early repayment charge!!!!!

Shame I bleedin' heard this AFTER I had payed mine off :(

TB

Edited by teddyboy

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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