Yes, interest is charged when you use premium finance with Zego Credit.
Interest is the cost of borrowing money. It’s added to the amount you repay over time.
Here’s where you’ll see your interest rate and the total amount you need to repay:
During your quote and purchase journey.
In the pre-contract documents you receive before you buy.
In your credit agreement document.
There are no hidden costs. We don’t charge any setup or admin fees for using premium finance with Zego Credit.
You might notice that the amount you finance is higher than your original insurance premium. That’s because it includes the interest on the loan.
Your monthly payments are worked out by taking the total amount borrowed (insurance cost + interest) and dividing it equally across the number of instalments agreed.