Shop Playing Punk. Penalty on Early Settlement

[BlackDawn]

ASPhoon gave me a rebate when I settled early for my previous bike.

[BlackBandit]

Most bike shop wil have early resettlement fee.. How much depends on the contract u sign.... but normally shops will twist the facts in the contract.. by right it suppose to be:

Example:

Installments every mth $100 left 12mths = $1200

Interest per annum 5%

So actually minus interest shld be $1200 - 5% = $960

Early settlment penalty of 2%

So if settle early must pay $960 + 2% = $979.20

 

But most bike shop themselves dont understand or try trick u.. They will say

$1200 + 2% = $1224

 

Actually early settlements penalty not only for bikes, also applies for car, personal loans and stuff... If they try to twist the words in contract, bring it to CASE..

 

I agree. Like I mentioned earlier, you shouldn't be worse off.

[contrarian]

Many buyers like to look at sticker prices without wanting to know about details such as tail end costs. If that's what they're interested in, instead of finding out the full payments and details, that's what they get. After all, they have the choice to deal with other traders who don't practice these.

[DaN zI]

if like wat u all say , pay all installment one shot left last one , also cannot transfer ownership etc.. is only more convinent by no need to go down every month ma.. alot ppl wanna settle early cos of sellin bike + wanna transfer name

[dragonforce]

there's onli 1 shop in SG which i koe who will refund u yr interest if u intend to make early settlement. (pro-rated)

& tat shop is LOOIS' , no doubt his prices are not the cheapest in town but a 101% honest shop.

 

other shops? i rather would not comment.

u can try my style, pay all yr remaining installment (expect 1 last one).

there's nothing they can do, & tat's wat i did.

 

& remember to pay the last installment when it's due.

dun really see the point of doing that if you can do some short investments with the cash rather than paying them.. they would be happy receiving the cash earlier than expected..

[quizesilver]

hitachi credit dun charge early settlement fee.

[leong77]

dear all,

 

Pls check your contract before u sign. It is normal for HP company to impose early settlement penalty to cover their loss of future interest income. It is of no use complaining to MAS as the agreement is clearly stated and signed by urself.

 

U should check with the company before u sign.

 

Cheers

[Non Stop Racing]

guys a quick 1 .i myself (355 per mth x 3yrs left,interest 4%pa) . so if i clear 1 shot, i must pay early settlement fee say (300$) but overall still can take back the interest ?

[ehem]

guys a quick 1 .i myself (355 per mth x 3yrs left,interest 4%pa) . so if i clear 1 shot, i must pay early settlement fee say (300$) but overall still can take back the interest ?

 

depends on ur loan agreement... read back ur loan agreement..

[7346]

hitachi credit dun charge early settlement fee.

 

early settlement still gif u back the unused intered hehe

 

but they only loan to 1000cc and above