Making extra repayments on your loan helps to reduce the time it takes to pay it off, so it’s great if you can do this. When interest rates rise, it also means your budget is already prepared for higher minimum payments. Depending on how much extra you paid, you may not need to adjust your budget, because you could already be covering the minimum payment amount.
We will always advise our customers when interest rates change and let you know what the minimum monthly repayments will be. This will help you decide whether or not you wish to change the payment you make.