When making a payment on your loan, we cannot specify the split between interest and principal. This makes it impossible to make "principal only" payments on your loan.
How does it work?
However, if your loan payments are on schedule – that is, all fees, principal, and accrued interest to date have been paid – any additional payment amount over what is due will pay down your principal balance.
With Prodigy Finance loans, the interest on your loan is capitalised once after the grace period and then is added onto your principal balance. This new amount will accrue interest regularly once the repayment period has begun.
You are welcome to make payments during the grace period. We never charge fees or penalties for early payments.
In a scenario where your loan payments are on schedule, any additional payment received during will be applied to a portion of interest as well as to the principal. For example, if we receive an additional payment one day into the payment cycle, a day of interest would have accrued. In this case, your additional payment would also be allocated first to that one day of interest and the remainder of the payment to principal.
If you have any questions about your payments, please write to us at email@example.com