We understand there can be unexpected life changes which can make it difficult for you to repay your loan. If you have been impacted by the increasing cost of living and/or facing financial difficulties, one of the options available to you is a short term reduced payment plan. If you need to make reduced payments for 1 - 3 months, you might be able to arrange this through your Lendable account.
Reduced repayment plans provide financial relief during temporary hardships but may extend your loan term, increase interest, or impact your credit score. It's essential to weigh the benefits against potential drawbacks before proceeding.
Log in to your Lendable account.
Go to the ‘Overview’ tab
Select ‘Setup arrangement plan’ and tell us what you can afford to pay.
Submit income and expenditure details to verify affordability.
Confirm the duration needed for reduced payments. Note: Plans exceeding six months will require reassessment and updated financial details during the process.
A reduced payment plan may extend the term of your loan and may result in additional interest being charged
Additionally, it is important to note that interest might continue to accrue unless explicitly frozen by the lender.
This could also impact your credit score, as the details will be reported to credit reference agencies until your account is brought up to date.
This credit record associated with the reduced payment plan may stay on your report for up to six years, potentially influencing future credit opportunities.
If you need support for more than 3 months, or can’t find the setup option, please contact us at contact@lendable.co.uk, 9am to 6pm, Monday to Friday or chat with us via your online account. Our Financial Support team will discuss your options with you and help find a solution tailored to your individual circumstances.
Plans may include payments as low as £1, with durations of up to six months, subject to reassessment and verification. If you wish to modify your plan during this time, contact our Financial Support team to discuss adjustments.
You may also need to complete and submit an income and expenditure form for verification if your financial situation requires a tailored longer-term solution.
You are able to make additional payments to your loan at any point in the future. This may reduce the interest you pay over time and shorten your loan term.
These additional payments can also help clear arrears more quickly during reduced payment plans, minimizing credit impact and loan term extension.
Early repayments can help reduce arrears accumulated during reduced payment periods, offering flexibility to manage your loan more efficiently.
Overpayment is an effective way to manage the financial implications of temporary reduced payments by reducing accrued interest.
Before making any extra payments to your loan, please think carefully about whether this is affordable.
For further assistance, consider consulting free and impartial support organizations such as StepChange Debt Charity, Money Advice Service, or Christians Against Poverty.