Uncle Buck now offers its three month instalment loan product to all for customers.
In June 2014, Uncle Buck Finance LLP began trialling a three month instalment product, initially presented as an alternative option for some customers. The popularity of this product has been encouraging and it is now available to all new applicants as well as customers who have borrowed from Uncle Buck before.
How it Works
With equal monthly instalments, and a legal right for customers to settle early in full or in part, the Trio Loan offers repayment flexibility without long term commitment. The total cost for any given loan will be greater than the same loan taken out over say, 30 days, because daily interest is applied, however each instalment includes a capital repayment element.
The product fully meets price capping requirements with interest being charged at 0.8% per day on the outstanding principal and a 100% total cost of credit cap, meaning a customer will never be required to repay more than twice what was borrowed. This cap takes into account the initial borrowing and any fees and charges, so Uncle Buck commits that fees and charges will never exceed 100% of the original loan principal. Late or missed payments may attract a £5 fee per instalment totalling a maximum of £15 and these aren’t applied for a week after the missed payment date to allow for genuine mishaps.
Spreading repayments over three months can be a useful way of managing borrowing whilst not having to sustain repayments over a longer term, with the option of early settlement.
Uncle Buck is one of the longest established UK short term lenders and believes consumers should have a choice of, and access to credit. Small sum, short term loans are not suitable as a means of longer term borrowing and would be expensive if used in this way.
Warning! Late payment can cause you serious money problems. For help, go to www.moneyadviceservice.co.uk